TAIPEI: Taiwanese chipmaking big TSMC’s plan to make investments US$100 billion in the US was a “historic second” for Taiwan-US ties, the island’s President Lai Ching-te stated on Thursday (Mar 6).
TSMC, the world’s largest chipmaker, introduced the plan this week after US President Donald Trump threatened to impose tariffs on overseas-made chips.
It’ll take the entire quantity TSMC has pledged to spend money on the US to US$165 billion, which the corporate stated was the “largest single overseas direct funding in US historical past”.
This was a “historic second for Taiwan-US relations”, Lai stated in a joint information convention with TSMC chairman and chief government C.C. Wei on the Presidential Workplace.
It comes after Trump’s accusations that Taiwan stole the US chip trade and his threats to impose tariffs of as much as 100 per cent, in addition to Taipei’s guarantees to speculate extra within the US.
TSMC has lengthy confronted calls for to maneuver extra of its manufacturing away from Taiwan, with fears that provides of the important expertise might be disrupted in any battle with Beijing.
Trump not too long ago ratcheted up the stress on TSMC and different chip producers by publicly mulling the introduction of 25 per cent, or larger, tariffs on all chips made exterior the US.
Talking on Thursday, Lai stated the federal government was not pressured by Washington “throughout TSMC’s US funding course of”.
Wei stated TSMC’s growth was pushed by rising demand from US shoppers and it might not have an effect on the corporate’s investments in Taiwan.
TSMC deliberate to construct 11 new manufacturing strains in Taiwan this 12 months to satisfy demand, Wei stated, including “our manufacturing capability will not be sufficient”.
“Every time TSMC makes a strategic transfer, TSMC turns into stronger and extra aggressive”, Lai stated.
“On the identical time, it additionally offers Taiwanese enterprises with alternatives for worldwide cooperation and contributes to Taiwan’s higher energy.”
