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Taiwan semiconductor tech support to Lithuania will develop regional supply chains for Europe

India's Sahasra Semiconductor to become the first to produce chips in the country

Taiwan plans to set up a semiconductor task force for Lithuania as the two tiny nations join hands to develop alternate supply chains which have been disrupted by the global spread of coronavirus.

Besides restoring the supply chains, the two democracies also seek to take on China in the economic arena it is reportedly arm twisting Lithuania for establishing relations with Taiwan. The Baltic nation wants to achieve greater sovereignty in developing regional semiconductor supply chains and expand manufacturing capacity.

Diplomat and foreign policy commentator Achal Malhotra told India Narrative: "Of late, there is a growing awareness worldwide that overdependence on China for key inputs for economic development must be reduced. Increasingly, one can see the need for sustainable supply chains being underlined in international deliberations including amongst the Quad countries".

Malhotra said: "Taiwan has proven capacity and capability in high tech areas including semiconductors and this is one of the several reasons for the West's desire to engage Taiwan".

Technology specialists and experts working in the technology-for-development fields are unanimous about Taiwan's prowess and global leadership in the field.

Vikas Kanungo, Founding Partner, Digital Technologies for Transformation, told India Narrative: "In her quest to ensure its continued leadership in global semiconductor industry, Taiwan has rightly selected Lithuania as its partner. With an impressive 11th rank among 190 countries in ease of doing business index and an ideal gateway for the European market, the deal, if implemented will be a win-win for both Taiwan and Lithuania".

Taiwan media quoted Eric Huang, Taiwan's first representative to Lithuania, that Taiwan would build a semiconductor task force in 2022 which will offer expertise to Lithuania and train its engineers. Taiwan will also help it attract semiconductor investment.

Huang added that Taiwan has a fully developed semiconductor ecosystem and human resource talent, which it will willingly share with Lithuania. The two countries have already signed agreements to promote collaboration on semiconductor as well as biotechnology development.

Through these collaborations, Taiwan is also looking to leverage Lithuania's global leadership in laser technologies.

Huang added that Taiwan is focused on building alternate supply chains for semiconductors. He said that his country will begin with training programmes for Lithuania and simultaneously build up cooperation in other sectors of semiconductor technologies.