Chart of the Day: Here’s How Critical Taiwan Is to the Chip Sector

There’s one resource our modern world relies more on than anything else… semiconductors.

Chips are not only in our computers, but our phones, our cars, our televisions, microwaves, stovetops, and refrigerators… basically every item in and outside our homes. 

And as we saw during the heights of the pandemic, when factories were closed, the resulting semiconductor shortage triggered chaos around the globe, including the sky high inflation we saw. What that means is the countries that control the flow of this vital resource can assert major influence across the world. For good or for bad. At the moment, the global semiconductor industry is about $600 billion annually. But it’s expected to grow at a rapid pace, setting new record highs. Unfortunately, 65% of all global production comes from Taiwan… the chip making jewel that China has its sights set on. That’s setting up a potential showdown between the U.S. and China… and we’ll have more on this in the days ahead. So stay tuned.