Map Shows Where Semiconductors Are Made Around the World

Newsweek has created a map showing which countries make the most semiconductors around the world amid Donald Trump's expected tariff rate announcement on them.

Japan, the United States and China have the most semiconductor manufacturing plants but Taiwan is "the world's undisputed leader in terms of raw semiconductor manufacturing," according to the World Population Review.

Why It Matters

Trump said on Friday that smartphones, computers and other electronic products would be exempt from "reciprocal" tariffs he has announced.

This will have a major impact on Washington and Beijing's tit-for-tat tariff war, as China manufactures a significant share of the world's electronic goods, serving as a production hub for many of America's and the globe's largest technology companies.

But, on Sunday, the president told reporters on Air Force One that he was planning to reveal a tariff rate on imported semiconductors this week.

This likely means that the exclusion of smartphones and computers from Trump's reciprocal tariffs on China will not last very long, Reuters reports.

What To Know

Japan has 103 semiconductor manufacturing plants, the United States has 95, China has 81, Taiwan has 80 and Germany has 22, World Population Review data shows.

But the World Population Review dubs Taiwan, whose diplomatic status is disputed by China, as "the world's undisputed leader in terms of raw semiconductor manufacturing."

This is largely thanks to one firm—Taiwan Semiconductor Manufacturing Company—which is responsible for around 50 percent of the world's semiconductors.

The United States had around 12 percent of the world's global chip manufacturing capacity as of 2023, according to the World Population Review.

This is much lower than America's capacity in the past (37 percent in 1990), which took a dive with the rise of Taiwan and China's semiconductor production capabilities.

Nevertheless, the semiconductor industry remains lucrative in the U.S., with U.S.-based companies holding around 46.3 percent of the total global semiconductor market share in 2021 and semiconductor exports adding $62 billion to the U.S. economy that year, according to the Semiconductor Industry Association.

The United Kingdom has 16 semiconductor manufacturing plants, the same number as Singapore, while Russia and South Korea have 15.

At the other end of the scale Mexico, Spain, Finland, Hong Kong, Switzerland, North Korea, Belarus and the United Arab Emirates have one plant each.

What People Are Saying

Trump said aboard Air Force One, as he traveled back to Washington from his estate in West Palm Beach: "We wanted to uncomplicate it from a lot of other companies, because we want to make our chips and semiconductors and other things in our country."

Trump also wrote on Truth Social: "What has been exposed is that we need to make products in the United States, and that we will not be held hostage by other Countries, especially hostile trading Nations like China, which will do everything within its power to disrespect the American People. We also cannot let them continue to abuse us on Trade, like they have for decades, THOSE DAYS ARE OVER!

"The Golden Age of America, which includes the upcoming Tax and Regulation Cuts, a substantial amount of which was just approved by the House and Senate, will mean more and better paying Jobs, making products in our Nation, and treating other Countries, in particular China, the same way they have treated us. The bottom line is that our Country will be bigger, better, and stronger than ever before. We will, MAKE AMERICA GREAT AGAIN!"

Trump's commerce secretary, Howard Lutnick, explained on ABC's This Week that smartphones, computers and other electronics products are "exempt from the reciprocal tariffs, but they're included in the semiconductor tariffs, which are coming in probably a month or two."

China's Ministry of Commerce said: "The bell on a tiger's neck can only be untied by the person who tied it."

What Happens Next

After last week's tariff broadside targeting about 180 countries and territories sent markets tumbling, Trump announced a 90-day reprieve for most of those affected. China was exempt from this reprieve though, with tariffs on its goods increased from 125 percent to 145 percent in a tit-for-tat move after Beijing imposed reciprocal tariffs of 84 percent on U.S. exports.