Mon. Jul 22nd, 2024
New Partnership with Indonesia to Explore Semiconductor Supply Chain Opportunities

The U.S. State Department will partner with the Government of Indonesia to explore opportunities to grow and diversify the global semiconductor ecosystem under the International Technology Security and Innovation (ITSI) Fund, created by the CHIPS Act of 2022.  This partnership will help create a more resilient, secure, and sustainable global semiconductor value chain.

The United States views Indonesia as a partner in ensuring the semiconductor supply chain can keep pace with the digital transformation underway.  Products ranging from vehicles to medical devices increasingly rely on semiconductors as the building blocks of today’s economy.  This collaboration underscores the significant potential to expand this industry in Indonesia to the benefit of both the United States and Indonesia.

The partnership will begin with a review of Indonesia’s current semiconductor ecosystem, regulatory framework, and workforce and infrastructure needs.  The outcome of this review will inform potential future collaboration on developing this critical sector.

In August 2022, President Biden signed the CHIPS Act of 2022, a U.S. law that appropriated new funding to boost domestic manufacturing and research of semiconductors in the United States.  The CHIPS Act of 2022 created the ITSI Fund, which provides the U.S. Department of State with $500 million ($100 million per year over five years, starting in Fiscal Year 2023) to promote the development and adoption of secure and trustworthy telecommunications networks and ensure semiconductor supply chain security and diversification through new programs and initiatives with our allies and partners.

More information about the ITSI Fund: The U.S. Department of State International Technology Security and Innovation Fund.

Official news published at https://www.state.gov/new-partnership-with-indonesia-to-explore-semiconductor-supply-chain-opportunities/

originally published at Politics - JISIP NEWS