Unsettled by the increased production of mature-node semiconductors and legacy chips in China, the U.S. Department of Commerce is launching a survey in January 2024 that will serve as a foundation for continued analysis of the capabilities and challenges of the broader U.S. semiconductor supply chain and national defense industrial base.
The intent of the survey is to identify how U.S. companies are sourcing current-generation and mature-node semiconductors, also known as legacy chips.
This analysis will inform U.S. policy to bolster the semiconductor supply chain, promote a level playing field for legacy chip production, and reduce national security risks posed by the People’s Republic of China (PRC).
“Legacy chips are essential to supporting critical U.S. industries, like telecommunications, automotive and the defense industrial base. Addressing non-market actions by foreign governments that threaten the U.S. legacy chip supply chain is a matter of national security,” said Secretary Gina Raimondo. “Over the last few years, we’ve seen potential signs of concerning practices from the PRC to expand their firms’ legacy chip production and make it harder for U.S. companies to compete. To get ahead of these concerns, the Department of Commerce is taking proactive measures to assess the U.S. semiconductor supply chain by collecting data from U.S. companies on the sourcing of their legacy chips. Government alone cannot create and sustain a robust supply chain – we need industry at the table. This survey will empower the Department with the data we need to inform our next steps in building strong, diverse, and resilient semiconductor supply chains.”
The Bureau of Industry and Security (BIS) within Commerce will launch the survey, which focuses on the use and sourcing of PRC-manufactured legacy chips in the supply chains of critical U.S. industries. The survey is a response to findings in a Congressionally-mandated report also released this week, which assesses the capabilities of the U.S. microelectronics industrial base to support U.S. national defense.
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