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Sitompul, Eiga
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Geoeconomics of Chip War: TSMC’S Influence in Tech Titans Rivalry Zulkarnain, Muhammad Fitrah; Al-Fadhat, Faris; Sitompul, Eiga
Journal of Islamic World and Politics Vol. 10 No. 1 (2026): June 2026
Publisher : Prodi Hubungan Internasional Program Magister Univ. Muhammadiyah Yogyakarta

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.18196/jiwp.v10i1.186

Abstract

This research analyzes the geoeconomic aspects of the global semiconductor industry, concentrating on China's strategic goal of semiconductor self-sufficiency and Taiwan's reliance on Taiwan Semiconductor Manufacturing Company (TSMC). The research used a qualitative cross-case analysis of secondary data, such as policy papers, government reports, and industry analyses, to compare China's state-driven semiconductor development strategy with Taiwan's economic leverage through TSMC. By highlighting how semiconductors function as strategic economic assets that influence global power dynamics, this study fills a gap in the literature that frequently views semiconductor rivalry as merely a technological or security concern. The results exhibit that Taiwan's ability to produce the most advanced chips strengthens its relationship with the US but also makes it more vulnerable to global risks. China's investments, like the "Big Fund", have sped up the growth of local semiconductors; however, they are still limited by export controls led by the U.S. This highlights the important relationship between economic infrastructure and geopolitical impact in the growing tech rivalry and gives policymakers, business strategists, and scholars useful information.
Co-Authors Al-Fadhat, Faris Zulkarnain, Muhammad Fitrah