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Exploring Geopolitical Influences on Taiwan’s Semiconductor Supply Chain: Key Factors and Strategic Responses

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  • Sirirat Sae Lim

    (National Yang Ming Chiao Tung University)

Abstract

Advanced semiconductors are pivotal to emerging technologies such as artificial intelligence, 5G, and electric vehicles. The United States and China both view semiconductor development as vital to national interests, shaping global technology policies. Taiwan holds a dominant position in this industry, yet escalating U.S.–China tensions have constrained cross-border collaboration. Divergent policies and geopolitical shifts exert pressure on Taiwanese firms in technology, market strategy, and resource allocation. This study examines these challenges through secondary data analysis and 12 expert interviews conducted in three stages. Using a three-stage thematic analysis, we identify and model critical factors influencing semiconductor supply chains and propose strategic responses. The findings provide practical recommendations to help Taiwanese firms mitigate risks from potential sanctions, sustain their competitiveness, and secure their position in the global value chain. The results also provide insights for international semiconductor operations facing similar geopolitical uncertainties.

Suggested Citation

  • Sirirat Sae Lim, 2026. "Exploring Geopolitical Influences on Taiwan’s Semiconductor Supply Chain: Key Factors and Strategic Responses," Springer Proceedings in Business and Economics,, Springer.
    • Handle: RePEc:spr:prbchp:978-3-032-23124-6_48
    DOI: 10.1007/978-3-032-23124-6_48
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