DR seeks to attract US semiconductor industry

[Alejandra]

The Dominican Republic is emerging as an investment destination for the global semiconductor and printed circuit board industry, particularly for the microchip assembly, testing and packaging (ATP) sector. The Foundation for Information Technologies and Innovation (ITIF) based in Washington, DC conducted a feasibility study on the country’s potential to participate in the semiconductor value chain, and indicates that the country has the conditions to become a strategic player for emerging technology industries.

Industry & Commerce Minister Víctor “Ito” Bisonó traveled to Washington for the presentation of the results of the feasibility study.

In the presentation of the ITIF report, called Assessing the Dominican Republic’s Readiness to Play a Greater Role in Global Semiconductor and PCB Value Chains,” Minister Bisonó was accompanied by...

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[chico bill]

I wonder if DR could maintain a clean room environment and 'stable' reliable electricity required for such processes. The investment money is available but it will require an educated workforce or at least well-trained, something which is, at best, challenging here.
Mexico has been considered for more expansion after the US "Chips Act", as they produce semiconductors used for some automobiles now, but some say not many areas in Mexico are not suitable for large scale production. DR may well be suitable for testing packaging and producing substrates but not silicon wafers. Security is a also a key component.
The more advanced, intellectually-protected, military used and the smaller 7nm and 5nm ( nanometer ) processes will likely stay in the US, Taiwan, Japan Germany, and South Korea.
East Asia produces over 76% of semiconductors but since labor costs have risen in China, Malaysia and Taiwan the manufacturers are looking for cheaper labor in other places, like Vietnam, Romania and India.
Clothing manufacturing was big here in DR but I have not heard much about that lately.
What other industries have offshored manufacture to DR (successfully ?)

Puerto Rico was big for some pharmaceutical manufacturing but Bill Clinton killed off a lot of their advantages with the 936 repeal but I read that starting in 2022 the US is recreating 'opportunity zones' in PR because of the loss of so many jobs. Microsoft tried to set up in PR but found the workforce not ideal for the complexities.

President Biden really wants to boost chip manufacturing and he needs Mexico's help to do it

Biden met with Andres Manuel López Obrador on Monday in Mexico City, and the two agreed to set up high-level teams to spur economic cooperation on chips and other measures.

fortune.com

 

[JD Jones]

The electronics company I mentioned had a factory in Mexico as well. Running that company was a nightmare and we finally closed it after a few years and brought the production to the DR.

 

[Father Guido]

the DR needs to stick with Fruit of the Loom and Hanes

 

[fuchs4d]

Remember that a decade or decades ago Leonel Fernandez said the same after a visit in asia. He wanted the D.R. to become a tiger state in relation to the semiconductor industrie.
Back then I posted on this forum this, which is still valid: "...looking on all memory modules and mainboard for chips that are made or assembled in the Dominican Republic since then, but haven't seen any to date."
Think this will stay the same for the next 20 years.

Cheap labor is one, but for highly automated assembly lines the whole supply industrie is missing.
Forget it.

Alexander

 

[windeguy]

Clean Room? Electricity? Clean water? Reliable punctual consistent labor?
I lived and worked Silicon Valley in CA for 10 years. The DR has a looooong way to go.

That is why I said 50 years or so for such possibilities in the DR. A generational shift would be needed.