{"id":1549801,"date":"2024-03-12T14:02:22","date_gmt":"2024-03-12T14:02:22","guid":{"rendered":"https:\/\/www.rfa.org\/english\/news\/southchinasea\/philippines-chip-sector-03122024094537.html"},"modified":"2024-03-12T14:02:22","modified_gmt":"2024-03-12T14:02:22","slug":"us-all-in-on-philippine-chip-sector-as-china-tensions-ramp-up","status":"publish","type":"post","link":"https:\/\/radiofree.asia\/2024\/03\/12\/us-all-in-on-philippine-chip-sector-as-china-tensions-ramp-up\/","title":{"rendered":"US \u2018all in\u2019 on Philippine chip sector as China tensions ramp up"},"content":{"rendered":"\n \n
The United States is going \u201call in on the Philippines\u201d and its semiconductor sector in a bid to diversify the global chip supply chain amid growing tensions with China, U.S. Commerce Secretary Gina Raimondo said Tuesday.<\/span><\/p>\n Raimondo made the announcement during a two-day trade mission to Manila in which she was joined by 22 American business executives from companies including Alphabet\u2019s Google, Visa and Microsoft.<\/span><\/p>\n \u201cThis is historic. The message is: We are all in the Philippines,\u201d Raimondo said at a meeting with U.S. and Philippine business associations in Makati City, the city\u2019s financial hub.<\/span><\/p>\n She also announced that American companies would invest $1 billion in the Philippines, spanning solar energy, electric vehicles and digitization.<\/span><\/p>\n The U.S. delegation, the first of its kind to the Southeast Asian nation, comes as the battle for semiconductor supremacy heats up between the world\u2019s two largest economies.<\/span><\/p>\n Washington has stepped up sanctions to limit China\u2019s access to the tiny electronic devices that power the modern economy, while encouraging American firms to diversify hi-tech supply chains.<\/span><\/p>\n \u201cU.S. companies have realized that our chip supply chain is way too concentrated in just a few countries in the world. Forget about geopolitics; just add that level of concentration. It\u2019s the old adage: \u2018Don\u2019t put your eggs in one basket\u2019,\u201d Raimondo said.<\/span><\/p>\n \u201cThe Philippines has 13 semiconductor assembly, testing, and packaging facilities. Let\u2019s double it,\u201d she added, without providing details on how that would be achieved.<\/span><\/p>\n Raimondo said the Philippines was rich in critical minerals, which \u201care more important than ever.\u201d<\/span><\/p>\n \u201cSo as companies are thinking about how to make their supply chain more resilient, they are looking for countries in the world where they can establish an operation. I believe you are at the top of the list,\u201d she said.<\/span><\/p>\n