Taiwan's TSMC, the world's largest contract chipmaker, is looking at alternatives to rare-earth components in its factory machinery to lessen the risk that Chinese export controls could disrupt production, according to a Reuters report published by the Japan Times, citing three people familiar with the matter.
The company has asked suppliers about motors for automated equipment that do not use rare-earth magnets. The talks are at an early stage and have not led to widespread use of such equipment. TSMC declined to comment.
China placed some rare-earth materials, magnets and processing technology under export licensing last year. Taiwan and the United States have both said they want to reduce reliance on Chinese supplies, and Taiwan's government is backing a research institute's plan for a pilot rare-earth production line within three years.
Source: Japan Times (Reuters)
