{"id":1173730,"date":"2021-12-30T21:04:42","date_gmt":"2021-12-31T02:04:42","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1173730"},"modified":"2021-12-30T21:04:45","modified_gmt":"2021-12-31T02:04:45","slug":"china-locks-down-important-manufacturing-city-worsening-global-computer-chip-shortage","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/china-locks-down-important-manufacturing-city-worsening-global-computer-chip-shortage\/","title":{"rendered":"China Locks Down Important Manufacturing City, Worsening Global Computer Chip Shortage"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">22<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fchina-locks-down-important-manufacturing-city-worsening-global-computer-chip-shortage%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1173730&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><p>Xi\u2019an, China \u2014 an important hub for the global semiconductor industry \u2014 is enduring a lockdown amid rising COVID-19 rates, further stretching computer chip supplies in the West.<\/p>\n<p><a href=\"https:\/\/www.cnn.com\/2021\/12\/30\/tech\/china-covid-xian-chips-samsung-micron-intl-hnk\/index.html\">CNN Business<\/a> reported that Chinese authorities have enacted \u201csweeping measures with an intensity and on a scale rarely seen since Wuhan, the pandemic\u2019s original epicenter.\u201d<\/p>\n<p>Indeed, <a href=\"https:\/\/news.samsung.com\/global\/regarding-the-situation-in-xian-china\">Samsung<\/a> said on Wednesday:<\/p>\n<p>Due to the ongoing COVID-19 situation, we have decided to temporarily adjust operations at our manufacturing facilities in Xi\u2019an, China. This decision was made in accordance with our commitment to protecting the health and safety of our employees and partners, which remains our top priority. We will also take all necessary measures, including leveraging our global manufacturing network, to ensure that our customers are not affected.<\/p>\n<p><a href=\"https:\/\/www.micron.com\/about\/blog\/2021\/december\/micron-statement-on-current-situation-in-xi-an-china\">Micron<\/a>, another chipmaker, issued a similar statement:<\/p>\n<p>The city\u2019s closure has reduced Micron\u2019s team member and contractor workforce at our Xi\u2019an site, resulting in some impact to output levels of our DRAM assembly and test operations there. We are working with suppliers operating in this region that face similar challenges. We are also working with local government officials to identify solutions that will enable us to minimize impact of the situation and maintain operations at the site safely.&nbsp;<\/p>\n<p>We are tapping our global supply chain, including our subcontractor partners, to help service our customers for these DRAM products. We project that these efforts will allow us to meet most of our customer demand, however there may be some near-term delays as we activate our network. New or more stringent restrictions impacting our operations in Xi\u2019an may be increasingly difficult to mitigate.<\/p>\n<p>The semiconductor shortage is a key driver of inflation in the automotive industry as manufacturers are forced to slash production. Between November 2020 and November 2021, data from the Bureau of Labor Statistics <a href=\"https:\/\/www.dailywire.com\/news\/gas-up-58-meat-up-13-inside-the-newest-record-breaking-inflation-report\">show<\/a> that the price of used vehicles has increased 31.4%, while the price of new vehicles has risen 11.1%.<\/p>\n<p>In response to the crisis, Ford Motor Company and General Motors want to <a href=\"https:\/\/www.dailywire.com\/news\/ford-and-gm-want-to-make-computer-chips-as-foreign-semiconductor-production-stays-bottlenecked\">produce<\/a> their own computer chips. <a href=\"https:\/\/www.wsj.com\/articles\/ford-enters-semiconductor-business-amid-chip-shortage-impact-11637242202?mod=hp_lead_pos1\">The Wall Street Journal<\/a> reported last month:<\/p>\n<p>Ford on Thursday morning said it had entered into a strategic agreement with U.S.-based chip maker GlobalFoundries Inc. to develop chips, a pact that could eventually lead to joint production in the U.S. The two companies didn\u2019t disclose terms or say how much they might invest in future production capacity.<\/p>\n<p>Shortly after, GM President Mark Reuss said GM was also trying to forge deeper ties with chip makers, striking strategic partnerships that could lead it to co-develop semiconductors and potentially produce them jointly. The move is part of a strategy to reduce variation in the microprocessors it uses in vehicles, he said.<\/p>\n<p>Tesla chief executive Elon Musk <a href=\"https:\/\/www.dailywire.com\/news\/never-seen-anything-like-it-elon-musk-reacts-to-global-supply-chain-issues\">commented<\/a> earlier this year that he has \u201cnever seen anything like\u201d the current semiconductor shortage.<\/p>\n<p>\u201cOur biggest challenge is supply chain, especially microcontroller chips,\u201d Musk said on Twitter. He then compared the company\u2019s decision to \u201coverorder\u201d various products to the \u201ctoilet paper shortage\u201d that occurred at the outbreak of COVID-19 in the United States.<\/p>\n<p>The Daily Wire is one of America\u2019s fastest-growing conservative media companies and counter-cultural outlets for news, opinion, and entertainment. Get inside access to The Daily Wire by becoming a <a href=\"https:\/\/www.dailywire.com\/subscribe\">member<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Xi\u2019an, China \u2014 an important hub for the global semiconductor industry \u2014 is enduring a lockdown amid rising COVID-19 rates, further stretching computer chip supplies in the West. CNN Business reported that Chinese authorities have enacted \u201csweeping measures with an intensity and on a scale rarely seen since Wuhan, the pandemic\u2019s original epicenter.\u201d Indeed, Samsung &#8230;<\/p>\n","protected":false},"author":99,"featured_media":2315279,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"","fifu_image_alt":"","footnotes":""},"categories":[],"tags":[],"class_list":["post-1173730","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry"],"_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1173730","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/99"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1173730"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1173730\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2315279"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1173730"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1173730"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1173730"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}