If you looking for more bad news, Taiwan’s topic trade negotiator John Deng is on the wires saying in a Reuters interview:

• Chinese military action against Taiwan would hit global trade much more than Russia’s Ukraine invasion
• There would be a worldwide shortage of the semiconductors an event of China military attack
• Taiwan is working with India on settling its tech tariffs dispute before WTO ruling

U.S. Commerce Secretary Gina Raimondo recently urged Congress to pass the CHIPS for America Act. That bill aims to incentivize investment in U.S. semiconductor manufacturing, research and development and supply chain security, providing income tax credit for chip equipment or manufacturing facility investment through 2026.

The CHIPS (Creating Helpful Incentives to Produce Semiconductors) for America Act was passed in January 2021. However, Congress has yet to agree on a bill that would appropriate resources for its various programs. This despite a rare bipartisan support for expanding domestic chip manufacturing.

Companies like Intel have pledged billions of dollars on plants in Arizona and Ohio. However, they are looking for assistance from the US government as a matter of national safety.

The invasion of Taiwan by China would certainly be another wrench in what is a very fragile economy that is exposed from a number of different fronts including oil, food, other  commodities , and chips. All of which have led to higher inflation.