What Are the Key Challenges Facing the U.S. Semiconductor Industry? Download Infiniti Research’s Latest Resource to Find Out

Key challenges facing the U.S. semiconductor industry.

LONDON--(BUSINESS WIRE)--Jul 1, 2019--

A well-known market intelligence company, Infiniti Research, has announced the completion of their recent free downloadable resource on the major challenges facing the U.S. semiconductor industry right now. This free supplement provides key insights into the roadblocks to success for the American semiconductor industry and also highlights how to overcome these challenges.

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Key challenges facing the U.S. semiconductor industry. (Graphic: Business Wire)

In the United States, the semiconductor industry is facing critical challenges, especially in terms of leadership. Foreign industrial policies coupled with several other market forces are prompting the shift of new chip production offshore. If the trend of offshoring continues due to the rising costs, the country’s productivity and growth will soon be eroded to a significant extent. As governments in Asian and European countries make aggressive efforts to coordinate and fund research in both product and process technologies, the U.S. is in desperate need to strengthen the growth of their semiconductor industry.

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Key challenges facing the U.S. semiconductor industry

Declining labor pool

The availability of skilled labor in the U.S. is gradually shrinking. Furthermore, when compared to Asian countries, the number of students graduating from the U.S. in specialized courses such as engineering is on the decline. Moreover, countries such as Taiwan and China are even providing several benefits and incentives to employees in strategic fields like the semiconductor industry.

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Initiative shifting abroad

Unlike the U.S., in Europe and East Asia, the national and regional programs are rapidly expanding as governments recognize the importance of the semiconductor industry and seek to address their growing technical challenges with considerable amounts of direct and indirect funding into this sector. Furthermore, countries like Germany and France are contributing to research programs at the national level and seeking chip-related foreign investment. Such measures call for a vigorous and constructive U.S. policy response.

Impact of foreign government policies

Although the prospect of selling into China’s domestic market provides the long-term momentum for site manufacturing capacity there, it is the immediate impact of tax incentives, particularly the VAT rebate, that is so rapidly redrawing the map for semiconductor production. There is only a narrow difference between Taiwan and China in terms of investment and operating costs. A policy which involves imposing a tariff on foreign-made wares will be effective, at least until it is condemned by the World Trade Organization.

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About Infiniti Research

Established in 2003, Infiniti Research is a leading market intelligence company providing smart solutions to address your business challenges. Infiniti Research studies markets in more than 100 countries to help analyze competitive activity, see beyond market disruptions, and develop intelligent business strategies. To know more, visit: https://www.infinitiresearch.com/about-us

CONTACT: Infiniti Research

Anirban Choudhury

Marketing Manager

US: +1 844 778 0600

UK: +44 203 893 3400

KEYWORD:

INDUSTRY KEYWORD: TECHNOLOGY SEMICONDUCTOR

SOURCE: Infiniti Research

Copyright Business Wire 2019.

PUB: 07/01/2019 11:30 AM/DISC: 07/01/2019 11:30 AM

Copyright Business Wire 2019.