UK semi industry exposed to supply chain risk, China state ownership

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Report suggests govt get cracking on a proper ownership structure survey and ... hang on, did they forget the Midlands?

UK government may need to revisit the National Semiconductor Strategy to guard against potential supply chain disruptions and succeed in nurturing a successful domestic semiconductor ecosystem for the future.by the previous government. It was criticized by some for offering too little funding and having too narrow a focus on a handful of key areas.

"Without a thorough understanding of the entire semiconductor ecosystem, including potentially overlooked regions and emerging subsectors, the strategy risks misallocating resources and missing opportunities for growth," the report states.but is threatened by China, the report finds that US investors hold a 27.5 percent share in those 61 Brit chip firms on average, more than anyone else.

As the report notes,"while the US is a close ally, over-reliance on any single country – even a friendly one – can pose risks to supply chain resilience."Meanwhile, no mention of UK and trade is complete without the"B" word. The report notes that the EU plays a significant role in the production networks of UK semiconductor firms, and that this represents both a risk and a potential opportunity that the existing government strategy disregards.

 

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