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200422 https://hdl.handle.net/2286/R.2.N.200422 http://rightsstatements.org/vocab/InC/1.0/ http://creativecommons.org/licenses/by-nc-sa/4.0 2025-05 45 pages Chen, Brian Zhou, Zenan Lauterborn, Tracey Barrett, The Honors College Thunderbird School of Global Management Department of Supply Chain Management Department of Information Systems The thesis analyzes the global microchip shortage, highlighting Taiwan's crucial position in semiconductor manufacturing, especially via TSMC's dominance in advanced chips. Triggered by COVID-19, the shortage arose from unprecedented digital demand surges, limited manufacturing capacity, and geopolitical tensions involving U.S.-China conflicts and Taiwan Strait instability. The crisis impacted sectors such as automotive and electronics, contributing to inflation and economic disruption globally. It exposed strategic vulnerabilities, prompting nations to implement industrial policies, such as the U.S. CHIPS Act, aimed at diversifying chip supplies and boosting domestic production. Despite efforts, replicating Taiwan's efficient semiconductor ecosystem remains challenging, underscoring ongoing tension between global resilience and production efficiency. Strategic recommendations emphasize ecosystem-wide investment, workforce development, sustainability, and international cooperation for a resilient semiconductor future. Taiwan TSMC Chips The Taiwan Microchip Shortage: Causes, Global Impact, and Strategic Implications for Supply Chain Resilience