‘Chip 4’ alliance

Subject :International relations

Section : Groupings

Context:

Japan, the United States, South Korea and Taiwan have held the first meeting of senior officials under a new U.S.-led framework to help ensure a stable supply of semiconductors.
Details:
The “Chip 4” or “Fab 4” alliance includes four of the world’s top producers of semiconductors: the S., Japan, Taiwan, and Korea.
It represents more than 70 percent of the value of the global semiconductor industry.
It was first proposed by the US in March 2022 as part of wider plans aimed at enhancing the “security” and “resilience” of semiconductor supply chains, including by reducing the world’s reliance on chips made in China.
It is intended to cooperate on policy implementation that would support sustainable semiconductor manufacturing in the member states’ home countries.
Objectives:
Support industry efforts to diversify their manufacturing base in semiconductor production.
Protect the Intellectual Property (IP) of companies in member countries.
Develop policies regarding the export of the most advanced semiconductors and equipment.