Trump's bid to shield chip supply chain could backfire in Tennessee
Germany's Wacker Chemie, which produces polysilicon that goes into chips and solar panels, will make a decision in the coming weeks on whether to close its Charleston, Tennessee, facility, which employs about 600 workers, the sources said.
A Tennessee semiconductor factory, which the U.S. hoped to protect, faces closure after its remaining customers departed due to new Trump trade measures. Germany's Wacker Chemie, a major polysilicon producer, will decide soon if it will shut down its Charleston facility, home to about 600 workers. Reuters could not verify the identities of the two customers.
The administration's push, including a price floor and tariffs on polysilicon goods, aims to boost purchases of American materials. However, this could prove ineffective due to the high cost of U.S. polysilicon, which is four times more expensive than its competitors. The move has sparked concerns about the administration's ability to shield the U.S. chip supply chain from China's dominance in solar-grade polysilicon, and whether the policy will ultimately bolster domestic production or further disadvantage American producers.
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- Trump's bid to shield chip supply chain could backfire in Tennessee koreatimes.co.kr
