STATEMENTS from the UK technology minister, writing off the country's position in the global semiconductor industry, have been slammed as "dithering" and a "disservice".

UK government technology minister Paul Scully, speaking to the Financial Times, said that the UK must focus on specialist or niche manufacturing and design instead of looking to compete with countries like the US and China, where governments can invest billions of pounds to support large-scale manufacturing.

“To leverage our position, it is about advanced packaging and design,” he told the FT.

“We are not going to recreate Taiwan in south Wales. It’s just not going to happen.”

He said that the opportunity presented by semiconductors "if we get this right" was "huge".

“So we can really make the most of that. But we’re not going to do it through just a massive load of fabs in the UK.”

Welsh economy minister Vaughan Gething said Mr Scully's dismissing the UK semiconductor sector's potential as a manufacturing centre was "extremely surprising".

"The tech minister’s comments are a real disservice to the talented workforce in the south Wales compound semiconductor cluster," he said.

“The Welsh government is ambitious for the industry in south Wales, and are working collaboratively with the UK Government to develop it. We are currently in active discussions with a number of companies about bringing vital new investment and jobs into the region.

“The UK government should now provide an urgent reassurance that the minister’s comments do not reflect government policy.”

Newport is a key hub for the semiconductor industry. One of the businesses based in the city is Newport Wafer Fab, owned by Nexperia, however the company's takeover of the site was blocked by UK Government ministers last year, leaving big questions over its future. 

Elected officials from across Newport recently met with staff at the firm, which they said was "playing an important part in the city's future".

Newport East MS John Griffiths, who said: "At present, it (the sector) has a UK government, which is not on its side, with dithering, delay and a half-baked strategy with nothing at present about manufacturing for the sector.

"Along with Ruth (Jones), Jessica (Morden) and Owen from Jayne‘s (Bryant) office, it was good to catch up with the Nexperia staff today to discuss what more we can all do in the weeks and months ahead to ensure the semiconductor sector has a strong future in our city and the wider region."