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March 6, 1988

THE SEMICONDUCTOR IS MODIFIES ITS STANCE

By CBR Staff Writer

Less than 24 hours after demanding additional sanctions against Japan for alleged non-compliance with the US-Japan semiconductor trade agreement, the Semiconductor Industry Association modified its stance after strong representations from the American Electronics Association, which speaks for the poor companies that actually have to use the parts made by the chipmakers and are suffering a desperate shortage of memory chips, and soaring prices in what many see as a direct consequence of the trade agreement and subsequent sanctions: the Semiconductor body has now agreed not to call for further sanctions while key parts are in short supply, and to join the Electronics Association in asking the Commerce Department not to impose anti-dumping measures that are likely to cause shortages.

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