*Investors Blog*

[SC Maintenance]

Please. The Chips Act's goal to bring back domestic semiconductor manufacturing, which is highly concentrated in Asia. There is some protectionist parts of the legislation but the goal is reshoring a critical technology. It was a mistake to offshore so much of this in the first place, IMO. America and Europe were kings; we used to call ST Micro the Intel of Europe. I have already listed the benefits.

The Chips Act is far different than tariffs on our allies. I'm sure you understand the China Taiwan affairs. It's important.

If the CHIPS act was simply an incentive to re-shore, there wouldn't be export bans on advanced chips and chip making equipment? There has been a complete attempt stop China from making advanced chips.

All tariffs put in place in 2017 - 2018 were kept by the next guy, and added to with outright export bans. - mostly on chip related things. So if they were so bad why did they stay?

US told Canada for example they need to tighten there boarder against Fentanyl, as one of the primary motivations of the tariffs. Fentanyl is flooded into the USA on purpose by the Chinese as a tactic to weaken their enemy. Old Stasi / KGB / CIA trick - cause domestic turmoil to weaken your enemy.

The tariffs have other incentives too. Rebuilding domestic production. USA maybe has decided that a little lower GDP where the good jobs are spread around the country more is worth the trade.

The real trade wars are coming. De-globalization has been coming for years. Many economists have been writing about it for years and I have posted much of it on this board. This first shot across the bow is simply about getting allies in line. Your either with us or not. There would be no point in tariffing our real enemies if they could simply ship there stuff to Mexico or Canada and make it there - for example BYD opening a EV plant in Mexico would subvert the EV tariffs.

Also another thing flying under the radar is the new secretary of state is a native Spanish speaker. Happenstance? Doubtful.

Your a smart guy. Connect the dots. This isn't what the globalist control media is telling you.

 

[Ronin73]

You never explained why EVERYONE else can have tariffs but not USA

Whataboutisim? Really? I don't care what others do. I care about my, my family, and our countries bottom line. This HURTS us. Your blind loyalty is not rational.

 

[Pablo]

Whataboutisim? Really? I don't care what others do. I care about my, my family, and our countries bottom line. This HURTS us. Your blind loyalty is not rational.

Not at all. Free trade works if truly free. I care about our country but you care about cheap crap being imported.

You came pretty close to saying I don’t care about my family. Be careful.

PS read the article I posted please don’t just react to talking heads

 

[supton]

Taiwan Semiconductor Manufacturing Co. (TSMC), the world’s leading chipmaker, is making a $65 billion investment to establish its cutting-edge semiconductor production at its Arizona facility.

By far the biggest road block TSMC is having in Arizona is finding qualified American talent. That's the problem; we need to value education. Engineers and programmers. The physical work in a fab is not high tech; it can be taught.
There's more. Taiwan corporate culture clash and basic language barriers are biggies as well. Complex compliance issues (regulations), construction delays and supply chain issues have been problematic.

These delays and road blocks have made it increasingly unlikely that the Arizona plant will be able to implement TSMC’s most advanced chip technologies ahead of its Taiwanese counterparts, but they are committed to producing cutting-edge chips at their Arizona foundries.

This is big. Real big and we have to support it. The bipartisan Chips Act of 2 years ago is a huge step in realizing this goal.

I’m looking but seeing nothing about test and packaging. I’m not hearing much about wafer test. Tell me how we are in shoring that, and the personnel who monitor wafer yields. Then throw in package and final test.

Technically we still have pcb manufacturing and assembly, although overseas is still cheaper. Not so sure on probe head manufacturing nor final test sockets.

Chips act is a step forward. But it’s only one piece of the puzzle.

 

[SC Maintenance]

I’m looking but seeing nothing about test and packaging. I’m not hearing much about wafer test. Tell me how we are in shoring that, and the personnel who monitor wafer yields. Then throw in package and final test.

Technically we still have pcb manufacturing and assembly, although overseas is still cheaper. Not so sure on probe head manufacturing nor final test sockets.

Chips act is a step forward. But it’s only one piece of the puzzle.

"TEMPE, Ariz.--(BUSINESS WIRE)--Nov. 30, 2023-- Amkor Technology, Inc. (Nasdaq: AMKR), a leading provider of semiconductor packaging and test services, has announced its plan to build an advanced packaging and test facility in Peoria, Arizona. By the time of full project completion, Amkor projects to invest approximately $2 billion and employ approximately 2,000 people at the new facility."


https://ir.amkor.com/news-releases/...unces-us-advanced-packaging-and-test-facility

 

[supton]

"TEMPE, Ariz.--(BUSINESS WIRE)--Nov. 30, 2023-- Amkor Technology, Inc. (Nasdaq: AMKR), a leading provider of semiconductor packaging and test services, has announced its plan to build an advanced packaging and test facility in Peoria, Arizona. By the time of full project completion, Amkor projects to invest approximately $2 billion and employ approximately 2,000 people at the new facility."


https://ir.amkor.com/news-releases/...unces-us-advanced-packaging-and-test-facility

Nice! now we’re talking.

 

[JHZR2]

Please. The Chips Act's goal to bring back domestic semiconductor manufacturing, which is highly concentrated in Asia. There is some protectionist parts of the legislation but the goal is reshoring a critical technology. It was a mistake to offshore so much of this in the first place, IMO. America and Europe were kings; we used to call ST Micro the Intel of Europe. I have already listed the benefits.

The Chips Act is far different than tariffs on our allies. I'm sure you understand the China Taiwan affairs. It's important.

Yet you have companies that have a higher value than the GDP of most nations…. Operating and trading here… and we have to incur MORE DEBT to coax them to manufacture here.

It’s just lining certain folks pockets. Puhleeez…

 

[Snagglefoot]

Canada may make the situation worse because they won't cave and take the nonsense. Makes for a good documentary, lol.

Done deal. Tariffs go on Tuesday.

 

[Dave Hess]

Yet you have companies that have a higher value than the GDP of most nations…. Operating and trading here… and we have to incur MORE DEBT to coax them to manufacture here.

It’s just lining certain folks pockets. Puhleeez…

Lots of fat in the Chips Act.

 

[Pablo]

Lots of fat in the Chips Act.

Putting it mildly.

 

[alarmguy]

I fear Monday (or the entire week) is going to be a nail-biter in the markets. Im wishing that maybe I cashed out last week, if only for the week next week.
Let's face it, 25% tariffs in all three countries. Them to us and us to them, throw in another 10% in China.
No debate on the effect, it DOESNT matter. My opinion is the markets do NOT like uncertainty and this is a gang banger of uncertainty!
Add to the above the already SKY HIGH valuations AND DeepSeek AI ... we could be looking at the perfect storm some have been looking for the last 3 years ...

or ... well? I dont know! *LOL*
I think POSSIBLY some of this might be a bargaining ploy by the USA. But uncertainty can kill the cat and snowball into something unintended. So far I think it's a ploy. At least I hope so because once again, I didn't sell. (so far not selling has worked for me, when will my luck run out?) Up over 100% last two years, I hope Monday doesnt slice me in half.

 

[Pablo]

Buy when all is bleakest. They are trying!

 

[supton]

I fear Monday (or the entire week) is going to be a nail-biter in the markets.

I would prefer to simply avoid altogether. However I haven’t done my Roth this year—so perhaps waiting for a day or two is wise, then drop in my money. Otherwise I’d rather not look!

 

[JeffKeryk]

So let's see... Say an item costs $100. You can get it made domestically or imported.
Tariffs increase the import price to $110.
Will the domestic seller sell for $100 or $110? What do you think will happen?
And then all of a sudden tariffs go away or imports are reduced; do sellers will go back to $100?

Yeah, that makes sense, right?
In other words, do tariffs cause inflation?

Of course you know most American cars are partially made in Mexico and Canada, the tariffs would add a minimum of thousands of dollars to the cost of cars...
Do you like coffee? Pharmaceuticals?

A truck loaded with Toyota pickups about to cross to the US next to the border wall at the Otay commercial crossing port in Tijuana...

 

[JHZR2]

So let's see... Say an item costs $100. You can get it made domestically or imported.
Tariffs increase the import price to $110.
Will the domestic seller sell for $100 or $110? What do you think will happen?
And then all of a sudden tariffs go away or imports are reduced; do sellers will go back to $100?

Yeah, that makes sense, right?
In other words, do tariffs cause inflation?

Of course you know most American cars are partially made in Mexico and Canada, the tariffs would add a minimum of thousands of dollars to the cost of cars...
Do you like coffee? Pharmaceuticals?

A truck loaded with Toyota pickups about to cross to the US next to the border wall at the Otay commercial crossing port in Tijuana...
View attachment 261764

Are those tacomas coming or going to Mexico?

How much does your theoretical widget cost to produce in the USA? How much does that one sell for?

The artificially low cost of junk dumped from other countries has undermined our manufacturing.

Your chip example, how important it is and all…. Why were all those fabs moved overseas? Were those flying the red, white, and blue buying the US made chip vs the dumped overseas chip 25 years ago when all that industry went overseas? Were they running with their stock increases instead of complaining and voting out the CEOs that were treacherously undermining our readiness, internal capabilities, and our fellow countryman’s jobs, in the name off a buck and bonus? Why would that change without parity in price? Because vendors got a subsidy under the chips act, are they going to lower their prices to the dumped Chinese cost out of the goodness of their hearts? Maybe they’ll sell their Silicon Valley mansions to make 25 unit apartments for underprivileged folks too? After all, it costs nothing to be a leader and set an example….

But hypocrisy abounds.

 

[Ronin73]

Not at all. Free trade works if truly free. I care about our country but you care about cheap crap being imported.

You came pretty close to saying I don’t care about my family. Be careful.

PS read the article I posted please don’t just react to talking heads

Be careful? Are you threatening me? What are you going to do?

 

[Pablo]

Be careful? Are you threatening me? What are you going to do?

Not a threat just a response to your odd threat

 

[Ronin73]

Not a threat just a response to your odd threat

What odd threat are you talking about, dude? I did no such thing.

 

[Pablo]

What odd threat are you talking about, dude? I did no such thing.

You definitely implied that I didn’t care about my family and our country.

 

[Owen Lucas]

We’ll check in a month. Meanwhile, may I suggest you read up on who Mark Carney is.

I wonder why Mark thinks dealing with the border and drugs is such a difficult issue? Wouldn't it be nice and neighborly for CA to make an effort to stop poison and criminals from coming into the US? Its easy to do!