US sanctions against Huawei have helped Taiwan’s real estate skyrocket

Minh Hoàng
April 23, 2021

VOV.VN – The stricter US ban on Huawei in May 2020 changed the global semiconductor supply chain in a way no one expected.

– Since the US ban was enacted on Huawei, a series of orders to enrich the Taiwan foundries has also changed the landscape of the island. The boom can be seen in Hsinchu, where TSMC is headquartered. The company’s recent success has fueled a wave of high-end apartment purchases in Hsinchu.

Lệnh cấm của Mỹ đối với Huawei là lý do khiến giá bất động sản Đài Loan tăng vọt.
The US ban on Huawei is the reason why Taiwan’s real estate prices soared.

– “When we started taking orders for luxury apartments the day before, we sold out within 3 days. Construction has not even begun, ”said a local real estate agent.

– Located on Taiwan’s northwest coast, Hsinchu used to be a relatively quiet city compared to the hustle and bustle in Taipei. But things started to change in June of last year when apartment prices almost immediately spiked, a 40-year-old local man said.

– Immediately after the US tightened export controls on Huawei, the Chinese company ordered a large amount of chips with TSMC. As a result, TSMC was forced to speed up work, and its employees received generous bonuses for keeping up with soaring demand. Many people seem to have spent these extra money on housing.

– In Costco, a famous neighborhood near TSMC headquarters, apartments priced at around $ 1 million are still being bought at a rapid rate, mainly by TSMC employees. A person in the company said: “Someone bought 20 apartments for himself”.

The price of a $ 1 million apartment in Hsinchu is still being bought clean.

– The world continues to lean toward Taiwanese companies, including TSMC, after a winter storm hit Texas in February this year forcing a Samsung Electronics factory to suspend production. Not stopping there, a factory fire at Japan’s Renesas Electronics in March exacerbated the shortage of chips.

– Semiconductor factories in Taiwan are running at full capacity. At an industry event in late March, TSMC Chairman Mark Liu warned global companies not to overestimate the capabilities of Taiwanese chipmakers. TSMC is currently building a large new campus in Tainan City.

– Last year, TSMC began producing advanced chips exclusively for Apple’s iPhone 12, and any discontinuance there could lead to widespread disruption to the global economy. . TSMC has increased security for the facility and this area is truly different.

– TSMC is expected to continue driving changes in Taiwan. After recording a net profit of $ 17.6 billion, the company is preparing to hire an additional 9,000 employees this year and spend $ 100 billion over three years on a major investment effort.

Source: Nikkei Asia