Strategy Note /
Taiwan

TSMC as key to chips as Middle East is to oil; a pointer for Biden's priorities

  • TSMC accounts for over 55% of semiconductors manufactured on an outsourced basis and has the most advanced technology

  • Equivalent to combined share of oil reserves of all the low-cost Middle East producers (GCC, Iran, Iraq, Libya)

  • Taiwan houses 80% of TSMC capacity. Taiwan Strait perhaps more important trade choke point than Hormuz, Malacca or Suez

TSMC as key to chips as Middle East is to oil; a pointer for Biden's priorities
Hasnain Malik
Hasnain Malik

Strategy & Head of Equity Research

Tellimer Research
20 January 2021
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