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DSET and The Heritage Foundation Host Roundtable on Drones and Non-Red Semiconductor Supply Chains

On April 1, Dr. Jeremy Chih-Cheng Chang, CEO of DSET, led a delegation to the Heritage Foundation in Washington, D.C. He met with Mr. Steve Yates, Senior Fellow in China and National Security Policy at the Heritage Foundation’s Asian Studies Center, along with his research team.

The meeting centered on DSET’s recently published report on mature-node semiconductors. Both sides engaged in in-depth discussions on China’s semiconductor strategy, risks in the mature-node supply chain, and strategic approaches to the development of the drone industry. Particular focus was placed on concrete measures to build a secure mature-node semiconductor supply chain and to create investment incentives.

Dr. Chang emphasized that China’s systematic cultivation of “national champion” enterprises in the mature-node chip sector is increasingly crowding out non-red (non-state-backed or non-favored) companies in the low-to-mid-end chip market. He called for greater collaboration among democratic nations on economic security issues, encouraging consensus on joint industrial policies that leverage key technologies and provide market incentives to establish a secure “non-red supply chain.”

The meeting helped build a broader consensus between the two institutions, with both parties committing to deepen research on the discussed economic security issues and to further enhance the economic resilience of alliances.

Mr. Yates, who has held multiple senior positions in the U.S. government related to Asia-Pacific affairs, played a key role in shaping U.S. policy toward Asia, particularly China and Taiwan.

The Heritage Foundation has significantly influenced Republican administrations’ personnel and policy since the Reagan era. Its recently unveiled “Project 2025” governance agenda, as reported by various media outlets, is also expected to have an impact on U.S. defense and foreign policy.

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