The Impact of the US-China Trade War on Japan’s Semiconductor Industry

Abstract

In the context of the US-China trade war, the development of the semiconductor industry has become a critical foundation determining technological strength and national standing. Japan, with its pivotal role in upstream segments such as materials and manufacturing equipment, finds itself under pressure from both the United States and China. This research examines the impacts of the US-China trade war on Japan’s semiconductor industry and Japan’s strategies to regain its position in the global semiconductor value chain. Drawing on theoretical frameworks of international cooperation and foreign direct investment, the research outlines the shifts and Japan’s important role in the global semiconductor supply chains . The analysis indicates that Japan possesses the capacity to capitalize on commercial opportunities arising from exports of oldgeneration semiconductor technologies to China. However, Japan also faces substantial challenges, including export-control risks and alliance-related pressure from the United States. On this basis, the paper systematizes Japan’s semiconductor revitalization policies from 2021 and proposes policy implications for Vietnam to strengthen its position in the value chain.