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Türkiye takes steps to shield itself from chip crisis

by Betül Usta

Aug 15, 2022 - 2:55 pm GMT+3
Technicians inspect a piece of equipment during a tour of the Micron Technology automotive chip manufacturing plant in Manassas, Virginia, U.S.,  Feb. 11, 2022. (AP File Photo)
Technicians inspect a piece of equipment during a tour of the Micron Technology automotive chip manufacturing plant in Manassas, Virginia, U.S., Feb. 11, 2022. (AP File Photo)
by Betül Usta Aug 15, 2022 2:55 pm

The chip crisis due to supply chains being initially disrupted with the COVID-19 pandemic is again on the agenda around the world with the rising tensions between China and Taiwan.

However, Türkiye, for its part, has been taking important steps in protecting itself from a possible crisis in the supply of the chips that are being used in many areas from fighter jets to space technologies and vehicles.

The country has been producing chips used in defense industry products at the Technological Research Council of Türkiye (TÜBITAK)’s compound in Gebze district of the Kocaeli province for many years.

Accordingly, there will be no chip-related problems in the production of Turkish defense products.

While the United States and China are experiencing tension regarding the arrival of human resources trained in the chip production field in Taiwan; Türkiye has personnel that is qualified to provide training in the field of chip production.

The country has knowledge and experience in the micron technology of the chips used in spacecraft and F-16 fighter jets.

International cooperation is also being made for the production of chips used in every field from health to transportation and communication.

One of the agreements signed by Malaysian Prime Minister Mahathir Bin Mohamad during President Recep Tayyip Erdoğan's visit to Kuala Lumpur in 2020 was in the field of chip production.

It was noted that the cooperation between the two countries will expand further in the coming months.

In a facility to be established in Malaysia, Turkish engineers will increase their competencies in the field.

Trade Minister Mehmet Muş, most recently mentioned that Türkiye has important studies in the field of chips.

He said the country has allocated a certain place in the capital Ankara specifically for this.

“The Ministry of Industry and Technology is working on chip-related investment,” he said.

The global economy has been struggling with a semiconductor shortage since the beginning of the coronavirus pandemic as chip factories were shut down and reopening caused a surge in global demand that faces limited supply.

The chip crisis affects 169 industries in one way or another, from electronics to automotive and health care equipment, according to the U.S. multinational investment bank and financial services company, Goldman Sachs.

Global semiconductor sales reached an all-time high in 2021 as the industry increased production despite shortages, according to the Semiconductor Industry Association. Industry sales totaled $555.9 billion in 2021 around the world – an 26.2% rise compared to $440.4 billion in 2020.

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