Taiwanese memory fabs “chaotic” after US-China trade tariffs heap on pressure

Taiwanese memory manufacturers are reportedly shifting operations out of China double-time to avoid the latest spat between the US and China. Industry sources claim that some DRAM and NAND manufacturers are so quick to make the rapid changeover that their operation has become “chaotic.” The manufacturing shift comes shortly after US-China trade talks came to a grinding halt with no agreement. The US is currently cranking up the pressure on the manufacturing capital of the world and its latest bout of tariffs increases duty on $200bn worth of Chinese imports into the US by 15%. These new 25% tariffs are reportedly set to go into effect in a matter of weeks, and economists believe these will be tougher for businesses to swallow without passing off the cost to consumers. Speaking with DigiTimes, industry sources claim the tariffs are behind the production shift from China to Taiwan. Several Taiwan-based memory manufacturers are reportedly reshuffling their Chinese manufacturing efforts to avoid the financial burden of the tariffs, which have in place on semiconductor imports since last year, with only products intended for sale within China intended to remain at fabs within the country.

from PCGamesN http://bit.ly/30gPF79
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