FAST FIVE: In 2020, The Most Traded Global Good Was Not Crude Oil But Semiconductors
The new rules prevent any US citizen, factory or green card holder from assisting Chinese advanced chip-making without a license, as well as expanding US control over non-US companies that use American technology.
As the DB Chart of the Day below shows, China has become an increasingly important source of revenue for semiconductor firms across the entire supply chain.
Although Intel in the US is developing its advanced chip capacity, Taiwan's TSMC dominates advanced chip production.
If TSMC's facilities were compromised – perhaps by geopolitical tensions or even by a natural disaster – no question the impact would be felt for years.
(More in the linked reports available to pro subs here, here and here) Tyler Durden Sun, 11/27/2022 – 13:00.