The Research Institute for Democracy, Society and Emerging Technology (DSET), with the support of the Oxford Semiconductor Conference, was invited to the Yale Jackson School of Global Affairs on May 1, 2026, to hold a roundtable discussion on “AI and Security in the Indo-Pacific.” The event showcased DSET’s latest research on technology geopolitics and semiconductor supply chains, and included in-depth exchanges with approximately 20 Yale students on U.S.–Taiwan supply chain cooperation and developments in China.
DSET CEO Jeremy Chih-Cheng Chang opened the discussion by explaining that DSET was established in response to the rapid transformation of global geopolitics and the technological order, reflecting the historical role of think tanks during major international transitions. He noted that as technology, supply chains, and national security become increasingly interconnected, Taiwan serves not only as a critical node in global technology supply chains but also possesses unique insights into China’s supply chains, industrial structure, and policy logic. This, he emphasized, enables Taiwan to collaborate with the U.S. and like-minded partners to identify strategic control points in critical technologies and supply chains, thereby strengthening the foundation for trusted supply chain cooperation among democracies.
DSET Deputy Director for Economic Security Min-Yen Chiang analyzed China’s semiconductor industrial policy and AI development strategy amid its technology competition with the U.S. He noted that China’s semiconductor policy has long been characterized by local competition and multi-track investment—a “letting a hundred flowers bloom” approach that continues to drive capacity expansion and intensify global market competition. Through specific case studies, Chiang explained that the spillover effects of China’s semiconductor policies are impacting not only regional supply chains but also placing significant pressure on U.S. semiconductor companies.
He further cautioned that China’s rapid expansion of mature-node chip capacity is gradually squeezing the market share of companies in Taiwan, the United States, and other democracies. Since mature-node chips are widely used in automobiles, industrial control systems, consumer electronics, and basic digital devices, continued Chinese subsidies, price competition, and capacity expansion could reshape the global semiconductor supply chain—posing a challenge that democratic countries must address as they advance supply chain cooperation.
DSET Economic Security Policy Analyst I-Yin Chung presented the team’s latest research on advanced packaging. She noted that as China encounters restrictions on advanced front-end manufacturing, it is turning to advanced packaging and system integration as alternative strategic pathways. By stacking and integrating existing domestic chip resources—and leveraging its industrial scale in OSAT, substrates, and printed circuit boards—China aims to deliver “good enough” system-level performance for AI applications. Using Huawei’s AI products as a case study, Chung warned that advanced packaging is no longer just a back-end semiconductor issue but is emerging as a new front in geotechnology competition, with implications for computing power, supply chain resilience, and export control effectiveness.
In closing, DSET CEO Jeremy Chih-Cheng Chang summarized the implications for U.S.–Taiwan technology and economic security cooperation. He stated that DSET will continue to focus on China’s technology supply chains, semiconductor industrial policy, AI ecosystem, and critical technology controls. Through systematic research and policy analysis, DSET aims to help Taiwan and international partners identify risks early, pinpoint key control points, and develop forward-looking policy recommendations.
