In a strategic shift that is reshaping the semiconductor landscape, Taiwanese chipmakers are encountering formidable challenges as Chinese foundries aggressively capture market share in the legacy chip sector. Initially entering the Chinese market to tap into lucrative opportunities, Taiwan’s Powerchip Technology now finds itself in a competition intensified by China’s localisation policies. Leading Chinese foundries like Nexchip are utilizing government support and lower margins to undercut Taiwanese prices, stirring concerns among industry leaders.
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