{"id":4769,"date":"2021-03-24T14:29:57","date_gmt":"2021-03-24T14:29:57","guid":{"rendered":"http:\/\/lonecandle.com\/?p=4769"},"modified":"2021-03-24T14:29:57","modified_gmt":"2021-03-24T14:29:57","slug":"why-a-global-chip-shortage-is-screwing-up-americas-pickup-trucks","status":"publish","type":"post","link":"https:\/\/lonecandle.com\/?p=4769","title":{"rendered":"Why a global chip shortage is screwing up America\u2019s pickup trucks"},"content":{"rendered":"\n

\n\n“Just 12 percent of global chip manufacturing is now based in the US, compared to the 37 percent share that the country had in 1990, according to research<\/a> SIA conducted with the Boston Consulting Group. The primary reasons for this decline are, according to UCLA supply chain professor Christopher Tang<\/a>, the low cost of production in other countries and chemical processes with less stringent regulation abroad.<\/p>\n\n\n\n

\u201cWe never had a coordinated plan, meaning these are free markets. So any companies can ship anything outside the country,\u201d Tang explained. \u201cSo now is a wake-up call. We have shifted virtually everything, so now it\u2019s an empty vault.\u201d<\/p>\n\n\n\n

There are many ideas for how to boost high-tech manufacturing in the US. Some, like Tang, say that part of the key is boosting the number of US students who study STEM and creating more high-tech jobs in the field. Another strategy up for consideration is beefing up US \u201cindustrial policy,\u201d which would have the government take a more active role in encouraging high-tech industries in the US<\/a>, whether through tax benefits, direct investment in research, or government subsidies. In his presidential campaign<\/a>, Biden even proposed wielding the government\u2019s power to buy these supplies directly from US manufacturers. Now with his supply chain review, Biden appears to be taking a first step toward pursuing that goal.”<\/p>\n\n\n\n

…<\/p>\n\n\n\n

“In part, a Biden administration official told Politico<\/a>, the goal is to ensure that the US isn\u2019t too reliant on other countries and to make US-based supply chains more resilient. In his executive order calling for a review, Biden mentioned<\/a> everything from another pandemic to a cyberattack to \u201cclimate shocks and extreme weather events\u201d as examples of crises that could make it more difficult to get much-needed supplies in the future.”<\/p>\n\n\n\n

…<\/p>\n\n\n\n

“Following the supply chain review, the goal isn\u2019t necessarily that the US produces all or even most of a particular product or its subcomponents, experts told Recode. Instead, it\u2019s about making sure the country has stockpiles; coordinated supply chains of needed supplies and components from different parts of the world; and enough domestic manufacturing to ensure the US can weather another crisis.<\/p>\n\n\n\n

But the task of building new high-tech manufacturing in the US would be a tall order.”<\/p>\n\n\n\n

https:\/\/www.vox.com\/recode\/22336388\/gm-chip-shortage-ford-semiconductors-biden<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

“Just 12 percent of global chip manufacturing is now based in the US, compared to the 37 percent share that the country had in 1990, according to research SIA conducted with the Boston Consulting Group. The primary reasons for this decline are, according to UCLA supply chain professor Christopher Tang, the low cost of production in other countries and chemical processes with less stringent regulation abroad.<\/p>\n

\u201cWe never had a coordinated plan, meaning these are free markets. So any companies can ship anything outside the country,\u201d Tang explained. \u201cSo now is a wake-up call. We have shifted virtually everything, so now it\u2019s an empty vault.\u201d<\/p>\n

There are many ideas for how to boost high-tech manufacturing in the US. Some, like Tang, say that part of the key is boosting the number of US students who study STEM and creating more high-tech jobs in the field. Another strategy up for consideration is beefing up US \u201cindustrial policy,\u201d which would have the government take a more active role in encouraging high-tech industries in the US, whether through tax benefits, direct investment in research, or government subsidies. In his presidential campaign, Biden even proposed wielding the government\u2019s power to buy these supplies directly from US manufacturers. Now with his supply chain review, Biden appears to be taking a first step toward pursuing that goal.”<\/p>\n

…<\/p>\n

“In part, a Biden administration official told Politico, the goal is to ensure that the US isn\u2019t too reliant on other countries and to make US-based supply chains more resilient. In his executive order calling for a review, Biden mentioned everything from another pandemic to a cyberattack to \u201cclimate shocks and extreme weather events\u201d as examples of crises that could make it more difficult to get much-needed supplies in the future.”<\/p>\n

…<\/p>\n

“Following the supply chain review, the goal isn\u2019t necessarily that the US produces all or even most of a particular product or its subcomponents, experts told Recode. Instead, it\u2019s about making sure the country has stockpiles; coordinated supply chains of needed supplies and components from different parts of the world; and enough domestic manufacturing to ensure the US can weather another crisis.<\/p>\n

But the task of building new high-tech manufacturing in the US would be a tall order.”<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[13],"tags":[1229,780,377,411,226],"class_list":["post-4769","post","type-post","status-publish","format-standard","hentry","category-article-share","tag-chips","tag-joe-biden","tag-manufacturing","tag-policy","tag-trade"],"_links":{"self":[{"href":"https:\/\/lonecandle.com\/index.php?rest_route=\/wp\/v2\/posts\/4769","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/lonecandle.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/lonecandle.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/lonecandle.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/lonecandle.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=4769"}],"version-history":[{"count":1,"href":"https:\/\/lonecandle.com\/index.php?rest_route=\/wp\/v2\/posts\/4769\/revisions"}],"predecessor-version":[{"id":4770,"href":"https:\/\/lonecandle.com\/index.php?rest_route=\/wp\/v2\/posts\/4769\/revisions\/4770"}],"wp:attachment":[{"href":"https:\/\/lonecandle.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=4769"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/lonecandle.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=4769"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/lonecandle.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=4769"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}