WASHINGTON: According to the top US intelligence official on Thursday( May 4) a Chinese invasion of Taiwan could possibly hold construction by the nation’s largest advanced semiconductor chip maker, wiping out up to US$ 1 trillion per year from the worldwide economy in the first few years.
During testimony before the Senate Armed Services Committee, US Director of National Intelligence Avril Haines gave what she referred to as a” general estimate.”
According to her, 90 % of” almost every category of electronic device around the world” use Taiwan Semiconductor Manufacturing Company Ltd ( TSMC ) advanced semiconductor chips.
She stated that” if a Chinese invasion prevented TSMC from producing those cards, it would have an enormous global financial effect that I believe ranges from US$ 600 billion to US$ 1 trillion on an annual basis for the first few year.”
If there was such an invasion of Taiwan and that( TSMC’s production ) was blocked, it would also have an effect on our( US ) GDP, Haines continued. ” If they stopped making chips, it would also have an effect on China’s business.”