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US Commerce Secretary says if China seized TSMC it would be 'absolutely devastating' to the US economy, as it buys 92% of its cutting-edge chips from the Taiwanese manufacturer

As Chinese relations with Taiwan remain strained, the US continues to reinforce the importance of chip manufacturing on home soil.

"Because this is such a sophisticated manufacturing facility, it depends on real-time connection with the outside world, with Europe, with Japan, with US, from materials to chemicals to spare parts to engineering software and diagnosis." Whether an invasion of Taiwan would lead to control of one of its most highly valued assets or simply shut it down may well be up for debate, but given the level of dependency the US currently has regarding TSMC's output, it would likely cause a gigantic shift within the chip making industry no matter the outcome. These warnings, in combination with vast amounts of funding to bring chip manufacturing into US territory, suggest the possibility is viewed as a major concern for the US government.

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