Chipmakers urge U.S. government officials to ensure supply chain continuity

BEIJING, March 26 (Reuters) – A group representing major U.S. semiconductor companies said on Wednesday it was working with federal officials to convince state and local officials responsible for overseeing the ban that chip companies should be allowed to continue operating important businesses.

Chipmakers urge U.S. government officials to ensure supply chain continuity

The Semiconductor Industry Association, which represents chipmakers at large U.S. factories such as Intel Corp and Micron Technology Inc., said in a blog post. The association is working with the U.S. Department of Homeland Security to refine and revise guidance documents sent to state and local officials last week.

Chip manufacturing is mentioned in the above guidance document as an essential business because they play an important role in supporting information technology. As millions of Americans are forced to work from home, information technology has become critical. In a blog post, John Neuffer, the group’s president, said chips also play an important role in medical devices, power grids and other necessary infrastructure.

“We must ensure continuity in semiconductors and related supply chains to support the expanding range of digital services that will expand in the coming weeks and months,” he wrote. Due to the high globalization of the semiconductor supply chain, the shortage of semiconductors caused by the operational constraints of one region cannot be easily compensated by production in other regions. “