Semiconductor Independence and the Failure of US Sanctions

An employee makes a chip at a Jiejie Microelectronics Company factory in Nantong, in eastern China's Jiangsu Province, on March 17, 2021. STR/AFP via Getty Images

Commentary

Unless you happen to live under a rock, you’re no doubt aware that the world is in the midst of an “everything” crisis. With global shortages of gas and grains, baby formula, and bananas, it’s time to add semiconductors to this ever-expanding, rather eclectic-sounding list. According to analysts at McKinsey, the semiconductor industry accounts for $450 billion dollars in direct annual revenues. To put that number in perspective, that’s almost the combined GDP of New Zealand and Finland. Semiconductors are the heartbeat of modern society; without them, no laptops, no phones, no health care, no military systems, no transportation. In other words, no life.