A new report issued from the data analytics firm Govini concludes that the United states is grossly over-reliant on China for its defense supplies and electronics and materials. Indeed, the report, commissioned by the department of defense concludes that over 40 percent of the semiconductors that sustain DoD weapons systems and associated infrastructure are now sourced from China. In addition, between 2014and 2022, American dependence on Chinese electronics increased by 600 percent.
These facts suggest a sensitive vulnerability to Chinese supply and control and a period of heightened tensions between the U.S. and China. In addition, the demand for munitions, especially precision guided weapons from Ukraine and Israel are taxing America’s own supplies.
Here is a copy of the new report: https://www.forbes.com/sites/erictegler/2024/01/09/americas-carriers-rely-on-chinese-chips-our-depleted-munitions-too/?sh=3f7c26757d8d
Taiwan is by far the world’s largest manufacturer of semiconductors as it produces more than 60 per cent of them globally, and more than 90 per cent of the most advanced ones. Should China blockade Taiwan, or invade, it would cause an immediate cut-off of supply of the majority of semiconductors used in a variety of products around the world including the US weaponry systems. The U.S. is making efforts to wean off China’s electronics and chips. The Chips Act, which was signed into law by President Biden in August, includes manufacturing incentives totaling $39 billion to be given to companies to help invest in domestic semiconductor manufacturing. More than $13 billion will fund research and development, as well as workforce advancement.
Jeffrey Newman Esq. is an attorney representing whistleblowers under the SEC, CFTC and FINCEN whistleblower programs. Persons providing original information to these agencies through counsel, may receive rewards totaling up to 30 percent of a successful recovery made by the SEC, CFTC OR FINCEN and the names and identification of the whistleblowers are kept confidential. His firm also represents whistleblowers in healthcare fraud cases. Attorney Newman can be reached at Jeff@Jeffnewmanlaw.com or at 617-823-3217
