Council on Foreign Relations 196d ago

“China not only wants to have this capacity, but they actually want to dominate this capacity globally," says CFR China and emerging technologies expert Chris McGuire, as he testifies before the House Foreign Affairs Committee. McGuire addresses China’s rapid expansion of legacy semiconductor manufacturing. He explains that 60% of the world’s new legacy fabrication plants (also know as fabs) built in the past two years were in China, and that China’s share of global legacy chip capacity is projected to rise from 34% in 2023 to 47% by 2027, compared to 4% in the United States. McGuire warns that China could use that dominance to undercut U.S. and allied firms, push them out of the market, and control 80 or 90% of the global supply of legacy chips, creating strategic and supply chain risks. He argues that the only way to constrain China’s growth in this sector is through controls on semiconductor manufacturing equipment. Subscribe to our channel: https://goo.gl/WCYsH7 This work represents the views and opinions solely of the author. The Council on Foreign Relations is an independent, nonpartisan membership organization, think tank, and publisher, and takes no institutional positions on matters of policy. Visit the CFR website: http://www.cfr.org Follow CFR on X: http://www.twitter.com/cfr_org Follow CFR on Facebook: https://www.facebook.com/councilonforeignrelations/