N/A

This thesis analyzes the opportunity set open to the Philippines, a small player, and the mechanisms it has exploited to enhance its security and prosperity amid increasing rivalry between the established hegemon and the rising power. It critically examines the strategic importance of the Philippines' semiconductor industry in the US-China trade and technology war. While the Philippines is not a direct recipient of funding under the CHIPS and Science Act of 2022, a landmark legislation aimed at revitalizing domestic semiconductor manufacturing and securing global supply chains, the Philippines has emerged as a crucial partner in supporting the broader U.S. strategy of supply chain diversification and resilience. The country’s established local industry plays a key role in these efforts and significantly shapes regional geopolitical alignments, particularly as both superpowers compete for technological supremacy and supply chain dominance.
The study provides a comprehensive overview of the evolving relationship between the US and China, which has escalated into a full-blown trade and technology conflict. It also compares the Philippines, Malaysia, Singapore and Vietnam, countries with established semiconductor ecosystems, and Thailand, which possesses a robust electronic manufacturing and assembly base. Furthermore, the study offers an in-depth analysis of the Philippines' current semiconductor strategy and proposes potential enhancements, drawing lessons from fellow ASEAN countries’ success in upgrading its local industry and attracting foreign direct investment.
Ultimately, this research addresses the following key questions: What makes the Philippines strategically important in the context of the CHIPS and Science Act? In what ways does the Philippines’ role as a host to semiconductor firms reflect and shape the evolving geoeconomic strategy of the United States in the Indo-Pacific? It concludes by offering a hopeful outlook for the Philippine semiconductor industry, emphasizing its potential for long-term growth and regional leadership in the evolving global tech order.