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Semiconductor Logistics and Alba Wheels Up

Joe DeSilvestri

September 7, 2023

The semiconductor industry is a complex and highly specialized field with a web of intricacies that extends far beyond the tiny microchips that power our devices. From Research and Development (R&D) to Fabrication, every step in the semiconductor production process demands meticulous planning and execution. 

Understanding Semiconductor Production

Semiconductor production essentially comprises two crucial stages: R&D and Fabrication. The latter, in particular, is capital-intensive and has come to be dominated by South-East Asian economies. Recent policy changes in the USA, UK, and the EU reflect a concerted effort to stimulate growth in domestic chip fabrication. However, attracting fabs (fabrication facilities capable of producing semiconductors at scale) remains a significant challenge.

The capital requirements for semiconductor fabrication are staggering, with unique designs for each producer and energy-intensive processes requiring between 30–50MW of power, equivalent to powering thousands of homes. This energy demand poses additional hurdles in regions with power-related planning constraints, like Europe.

Despite advancements in automation, skilled labor remains essential for operating complex equipment. The rapid evolution of semiconductor technology adds to the challenge of recruiting qualified personnel. Labor cost disparities between Western economies and Asia, where semiconductor industries have flourished, have further compounded this issue.

The Changing Geopolitical Landscape

Over the past three decades, the geographic landscape of semiconductor manufacturing has undergone dramatic shifts. Taiwan, South Korea, and China have emerged as dominant players, with Taiwan hosting the renowned Taiwan Semiconductor Manufacturing Company (TSMC).

South Korea, home to giants like Samsung and SK Hynix, specializes in memory chip production. China, with its “Made in China 2025” policy, aims to reduce reliance on imported chips through substantial investments in manufacturing facilities. Although China faces technical challenges, it has made significant strides in catching up with its competitors.

North America, boasting companies like Intel, Qualcomm, and Nvidia, continues to play a significant role in semiconductor design. In contrast, Europe has seen its share of manufacturing decline, relying on its R&D expertise to maintain a foothold in the industry.

Semiconductor Logistics and Alba Wheels Up!

The complex world of semiconductor logistics demands precision and expertise, which is where Alba Wheels Up! comes into play. While Alba Wheels Up! primarily focuses on customs brokerage for semiconductors, our expertise is centered on supply chain optimization, cost reduction, and compliance.

One key tool in our arsenal is the Temporary Importation under Bond (TIB) program, which legally allows businesses to avoid trade remedy duties. Alba Wheels Up! excels in designing TIB programs, winning refunds through protests and Post Summary Corrections (PSCs), and assisting companies in obtaining Importer Self Assessment (ISA) certification while supporting their annual validation and reporting requirements.

Post Summary Correction (PSC) Expertise

Effective September 22, 2011, the Post Entry Amendment (PEA) processing for ACE entry summaries ceased, making PSC the sole method for electronically correcting entry summaries before liquidation. A PSC essentially functions as a new entry summary, but it will only be processed once fully paid. Alba Wheels Up! helps ensure that your PSC filings align with the criteria.

Importer Self-Assessment (ISA) Program

Alba Wheels Up! understands the importance of compliance. Our involvement in national compliance events and strong ties with Customs provide invaluable insight into upcoming regulations. By choosing Alba Wheels Up!, you gain access to a wealth of expertise, reduced cargo dwell time, expert guidance, reduced infractions, thorough risk assessment, and greater cost savings.

Choose Alba Wheels Up! for a Seamless Semiconductor Journey

Choosing the right partner can make all the difference. Alba Wheels Up! offers consistent compliance, ensuring that your shipments are customs compliant today and that your company can anticipate and implement changes tomorrow. Trust in our expertise to navigate the complexities and secure your semiconductor supply chain. Make the smart choice and choose Alba Wheels Up! for a seamless semiconductor journey.

Contact Alba Wheels Up! today and experience the expertise that can transform your semiconductor logistics.

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