[Technology] TSMC refused to disclose client data to the U.S. government in Taiwan for backup When you are the world’s largest contract maker of semiconductors, you seem to be able to say “no” to the world’s most powerful person, the President of the United States.Apparently, this is exactly what Taiwan Semiconductor Manufacturing is trying to do in the recent White House. [request](//www.reuters.com/business/us-commerce-chief-aggressive-action-chips-shortage-needed-2021-09-23/) To disclose details about our relationships with our suppliers and customers. This includes product types manufactured for clients, lead times, inventory levels, and other information that is considered confidential. The Taiwanese government is committed to supporting TSMC as needed. Desperate times require desperate measures “We will never divulge our confidential information, especially customer-related information,” said Sylvia Fang, TSMC’s legal counsel. [Nikkei](//asia.nikkei.com/Business/Tech/Semiconductors/TSMC-weighs-response-to-U.S.-call-for-supply-chain-disclosures) .. “We are still in the process of doing some preliminary research and evaluating the content of the survey. [sent by the U.S. government].. ” Record demand for all electronics (including modern automotive parts) in the last quarter has led to a significant shortage of various chips, including automotive chips. The auto industry, which involves automakers, their subcontractors, dealers and services, employs tens of millions of people worldwide, and automakers must stop producing cars due to a lack of chips. If so, it becomes a serious economic problem. Keeping US-based automobile factories up and running is essential to national administration, as the US automotive industry is one of the most important industries in the United States. In this case, it means ensuring a sufficient tip supply. The Biden administration recently used the Cold War-era National Security Act to voluntarily request participants in the semiconductor supply chain to voluntarily disclose large amounts of information about their businesses to identify bottlenecks in the global semiconductor supply chain. And threatened to force disclosure. “There are other tools in the toolbox that need to provide data,” US Secretary of Commerce Gina Raimondo said in an interview. [Reuters](//www.reuters.com/business/us-commerce-chief-aggressive-action-chips-shortage-needed-2021-09-23/) .. “We hope we don’t get there, but if we have to, we do.” Supply chain transparency or disclosure of corporate secrets? The US automotive industry is suffering from a continuous tip shortage, and the US government wants to address and implement the global tip shortage. [I want to understand](//www.reuters.com/technology/white-house-seeks-address-semiconductor-chips-crisis-harming-automakers-2021-09-23/) Authorities have described how the global semiconductor supply chain works. [transparency](//www.reuters.com/business/us-commerce-chief-aggressive-action-chips-shortage-needed-2021-09-23/) .. “ This is done by the US Department of Commerce [questionnaire](//www.federalregister.gov/documents/2021/09/24/2021-20348/notice-of-request-for-public-comments-on-risks-in-the-semiconductor-supply-chain) For chip makers, chip intermediate users, and chip end users. Unfortunately, it contained many questions asking for information that TSMC considers confidential. The following is an excerpt from the documentation: – For integrated circuits to be manufactured, annual sales in 2019, 2020, and 2021 based on major integrated circuit types, product types, associated technology nodes (nanometers), and expected end applications. Identify achievements or estimates. – Identify the semiconductor products your organization sells that have the highest backlog. Then, for totals and each product, identify product attributes, sales for the past month, manufacturing and packaging / assembly locations. – Lists the current top three customers for each product and the estimated percentage of each customer’s sales for that product. – For the top semiconductor products in your organization, estimate (a) 2019 lead times and (b) current lead times (days) for each product, both overall and in each phase of the manufacturing process. – Lists the typical inventory and current inventory (days) of each product for the organization’s top semiconductor products, finished products, ongoing products, and inbound products. Describes changes in inventory practices. – Is your organization considering increasing capacity? If yes, how, in what time frame, what obstacles are present in such an increase? What factors do organizations consider when assessing whether to increase capacity? – If the demand for a product exceeds capacity, what is the main way for an organization to allocate available supplies? TSMC believes that it is not possible to answer these questions without disclosing the client’s personal information and its own commercial secrets. “Customer trust is one of the key factors in our success,” fans report. [Reuters](//finance.yahoo.com/news/taiwans-tsmc-u-request-says-093544941.html) .. “If this is to solve supply chain problems, we can do our best to help them. We have done a lot. For the autochip part, output And tried to put the autochip in a certain priority. “Degree.” Recent Taiwanese government [Promises to support TSMC](//www.taiwannews.com.tw/en/news/4302207) When the US Government attempts to force a company to harm the foundry’s relationships with its customers and businesses. “If our company faces unreasonable demands in international competition, the government will certainly provide the necessary support and express concern to prevent the Taiwanese company from fighting alone on the international stage.” [Said](//www.reuters.com/technology/taiwan-chip-information-request-says-respects-us-laws-2021-09-30/) Taiwan’s Minister of Economy, Wang Meifa. Endgame? Modern supply chains are complex mechanisms that are difficult to understand even for participants. The global semiconductor supply chain is certainly one of the most complex (if not the most complex) supply chains that exist today. This includes high-purity chemicals produced in Japan. Materials mined all over the world. IP designed in the United States. Process technology developed in the United States, Taiwan, or South Korea. Production equipment manufactured in Europe, Japan and the United States. Testing and packaging facilities in China and Malaysia. Even if the US government identifies industry bottlenecks, it is unclear if there is a suitable tool to address them in a short period of time. In addition, many economists have complex supply chains that function in the market economy as self-healing organisms that tend to balance supply and demand with investor interests. Internal interventions can potentially solve some problems, but if this is done at the expense of imbalances, they can be more harmful than good. https://www.tomshardware.com/uk/news/tsmc-refuses-to-disclose-clients-data-to-us-govt TSMC refused to disclose client data to the U.S. government in Taiwan for backup