A few days ago, the United States has pledged to provide $6.6 billion in financial subsidies to chip giant TSMC to support TSMC to open a 2nm chip factory in the United States. As far as the current situation of chip development is concerned, mass production of 2 nanometers is already a ceiling technology, so the United States is closely following the trend of chip development and trying to build a chip wall. Judging from the information released by the U.S. Department of Commerce, the United States has invested heavily in Intel and also supports the company's development of high-end chip manufacturing. For the development of the chip industry in the United States, the Biden administration has formulated a plan to try to master 20% of the world's chip production capacity, and is aiming at the top chip manufacturing technology, for which it is willing to invest heavily in companies such as TSMC, Intel and Samsung.
Judging from the actions of the Biden administration in the United States, it seems that the relevant funds are provided free of charge, but in fact, the funds invested by chip giants far exceed the industrial subsidies provided by the US government. The U.S. pledged $6.6 billion to TSMC, and TSMC pledged to invest more than $65 billion in the U.S., so the U.S. subsidy is only 10 percent. The United States has technical threshold requirements for chip giants to set up factories in the United States, which must manufacture high-end chips and use the American supply chain, so that the US government can control it. In fact, as early as the Trump era, the United States has been "agitating" chip giants to set up factories in the United States, during which TSMC was the most active, and now it is planning to set up a third factory.
In terms of chip technology, TSMC has also promised to produce 2-nanometer chips in the United States, which is a commitment to the U.S. government, but it is also based on the definition of existing high-end chips. If it goes on, there is a good chance that 0.5 nanometers will become mainstream, so there is a good chance that there will be changes in the future. In fact, the United States is now betting that TSMC's technology will always be leading, and it is obvious that the United States overestimates TSMC, because the market will drive the progress of science and technology. Since 2019, the United States has made efforts in the field of chips, including sanctions against China, and the United States is bent on preventing the breakthrough of China's chip technology, so it has controlled chip production equipment and technology, as well as consumables.
Not only did the U.S. do it itself, but it also forced U.S. allies to act together in an attempt to stop China's progress in the field of chips in all directions, but China still broke through 7nm technology. In TSMC's chip manufacturing, 7nm accounts for 19%, 5nm accounts for 33%, and 3nm only 6% of the scale, so as long as China breaks through 5nm technology, it will be able to gain more chip market share. The breakthrough from 7nm to 5nm requires progress in equipment and technology, and now China has a DUV series lithography machine, which can produce chips with 7nm process through multiple exposures, and has actually been able to produce 5nm chip products.
China is the world's largest chip use market, so there is a huge demand, China's breakthrough in the 7nm process, which means that the process below 7nm is not a problem, so as long as the breakthrough continues, it can eventually stabilize the highest level of chip manufacturing. The United States previously bet that China can only manufacture chips below 14 nanometers, and even only mass production of 28 nanometer chips, but in just 3 years, China has broken through the 7 nanometer process, so China has proved its strength with actions, and the future can make the United States' containment and containment completely fail. Now that the United States is gambling, it is obvious that building a high wall will not be able to stop the development of China's chip industry, and China's huge market can drive the development of China's chip industry, which is a foundation that the United States does not have.