January 26, 2021
Intel’s Woes Offer an Opportunity for Resilience
America is at risk of losing its strategic advantage in technological innovation. One warning sign is in semiconductors, the silicon chips in everything from cell phones to satellites to jet planes. Recently, the hedge fund Third Point warned that US semiconductor giant Intel, the only US-based company that both designs and manufactures leading-edge logic chips domestically, was in trouble. The Biden administration faces a test: Can it craft an industrial policy as part of our competitive response to China?
Policymakers and business leaders need to forge a sound industrial policy with a “buy American” standard and incentives to keep the manufacturing and innovation of critical goods like semiconductors on shore.
While Intel has made some moves in recent days, policymakers and business leaders need to forge a sound industrial policy with a “buy American” standard and incentives to keep the manufacturing and innovation of critical goods like semiconductors on shore. The goal of this policy should not be ending trade, but building resilience in strategic sectors.
Read the full article from RealClearPolicy.
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