Intel will not increase chip production in China. Plans blocked by the White House

  • November 15, 2021

Intel’s plans to increase chip production in China may not materialize. As reported by the Western media, the company was to run into a wall built by President Biden’s administration. Thus, it may turn out that the availability of chips will be worse than previously assumed.

The Americans openly admit that they aim to prevent China from using American technology and know-how to develop advanced technological solutions. This is not surprising, but on the other hand, the idea of blue is potentially very important for the availability of chips in the world. Intel definitely will not oppose the will of the government, especially since it is supposed to get a gigantic amount of funding from Congress for internal research and production. We’re talking about more than $52 billion. So even the prospect of increased affordability once the China plant is up and running is not attractive by direct comparison.

So Intel has to look for an alternative solution, which will be the hardest. The production capacity of the largest manufacturers in the world is very limited, and new plants take up to several years to build and are very expensive. The closest to installing a new one is TSMC, which will also benefit from the aforementioned funding from the U.S. Congress. The European Union also wants to get into the game, planning to invest heavily in the chip manufacturing sector.