TAIWAN Semiconductor Manufacturing Co (TSMC) plans to invest US$100 billion in chips plants in the US over the next four years, a move President Donald Trump is set to announce at the White House later on Monday (Mar 3), according to a person familiar with the matter.
TSMC is the world’s leader in production of advanced semiconductors used for artificial intelligence, and the investment would help bolster Trump’s pledge to make the US dominant in AI. The person who described the plans did so on condition of anonymity ahead of the announcement.
The Wall Street Journal reported the investment plans earlier.
Trump has repeatedly accused Taiwan of “stealing” the US chip industry and threatened tariffs on foreign-produced semiconductors, as top US officials have consistently affirmed their commitment to boosting domestic manufacturing. That’s particularly true for technologies at the heart of the US-China competition.
The president has expressed a preference for using tariffs to boost US chipmaking instead of government subsidies – the approach adopted by Chips Act under President Joe Biden. That legislation, passed in 2022, led to TSMC winning US$6.6 billion in grants to support three plants in Phoenix.
During Trump’s first term, his administration lured TSMC to the US partly out of national security concerns. When TSMC first announced its investments in an advanced plant in the US in 2020, Trump officials back then said chips made by the Taiwanese chipmaker in Arizona will power everything from artificial intelligence to F-35 fighter jets. BLOOMBERG
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