Taipei [Taiwan], May 24 (ANI): Taiwan Semiconductor Manufacturing Company (TSMC) has cautioned the US government that imposing tariffs on Taiwanese semiconductors could jeopardize its massive $165 billion investment plan in Arizona, reported Focus Taiwan on Friday.
TSMC’s investment focuses on constructing advanced semiconductor fabrication facilities in Phoenix. The company warned that tariffs might increase costs, reduce demand for chips, and threaten the success of its Arizona project.
In a letter to the US Department of Commerce, TSMC stated, “New import restrictions could jeopardize current US leadership in the competitive technology industry and create uncertainties for many committed semiconductor capital projects in the US, including TSMC Arizona’s significant investment plan.”
The chipmaker emphasized that tariffs would increase prices for end consumers, leading to lower demand for products containing semiconductors. This stance contrasts with Taiwan’s usual reluctance to openly criticize the previous Trump administration’s tariff policies.
Currently, TSMC has invested $65 billion in Arizona to build three advanced wafer fabrication plants. The first is already mass-producing chips, the second is nearing completion, and a groundbreaking ceremony was recently held for the third fab. In March, TSMC announced plans to invest an additional $100 billion to establish three more wafer fabs, two packaging and testing plants, and a research and development center in Arizona over the coming years.
TSMC requested that any tariffs imposed should not apply to downstream end products or semi-finished products containing semiconductors, to avoid negatively impacting demand and the semiconductor supply chain.
Earlier this month, TSMC reported a notable rise in revenue for April 2025, driven by surging demand for advanced semiconductors. (ANI)
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