{"id":3606,"date":"2025-03-06T12:05:17","date_gmt":"2025-03-06T12:05:17","guid":{"rendered":"https:\/\/friscotimes.org\/?p=3606"},"modified":"2025-03-06T12:05:17","modified_gmt":"2025-03-06T12:05:17","slug":"taiwan-tsmc-chips-arizona-html","status":"publish","type":"post","link":"https:\/\/friscotimes.org\/?p=3606","title":{"rendered":"Taiwan President Defends TSMC\u2019s $100 Billion U.S. Chip Investment"},"content":{"rendered":"<p> <br \/>\n<\/p>\n<div data-testid=\"companionColumn-0\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">President Lai Ching-te of Taiwan on Thursday sought to reassure his citizens that a plan by a Taiwanese chip giant to spend $100 billion in the United States would benefit the island, after the company\u2019s pledge this week raised concerns at home.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Taiwan Semiconductor Manufacturing Company, the world\u2019s largest chip manufacturer, announced on Monday that over the next four years it would expand its operations in Arizona to make chips for artificial intelligence and other high-tech applications. President Trump has pressed Taiwan to loosen its dominance in advanced semiconductors and to move production to the United States, and he has warned of hefty tariffs if his demands are not met.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">But TSMC\u2019s announcement also stirred debate and misgivings in Taiwan, a democratically governed island where many people see the chip sector as a vital economic pillar and a shield against possible aggression by China, which claims it is part of its territory. The commitment from TSMC would lift its planned spending in the United States to $165 billion, more than double its previous commitments there.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Mr. Lai, in a news conference in Taipei on Thursday with C.C. Wei, the chief executive of TSMC, asserted that the plan was good for TSMC, Taiwan and the United States.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-1\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">\u201cWe have seen every time that with each initiative by TSMC, TSMC has grown even stronger and more competitive, while also providing Taiwan\u2019s businesses with opportunities for international cooperation and contributing to Taiwan\u2019s greater strength,\u201d Mr. Lai told reporters at the presidential office. He said that Taiwan could now \u201cconfidently cross the Pacific Ocean and expand eastward to the American continent.\u201d<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-2\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">Mr. Wei asserted that TSMC\u2019s decision was based on business considerations \u2014 implying that the company was not bending to political pressure. \u201cWe have done a lot of analysis, and I\u2019ve communicated with all our customers,\u201d he said. \u201cIt turns out that TSMC\u2019s current expansion plan in the United States is not enough to meet their demand.\u201d<\/p>\n<p class=\"css-at9mc1 evys1bk0\">The company\u2019s production in Taiwan would not be hurt by its growing investment in the United States, Mr. Wei said.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Not everyone in Taiwan is convinced. \u201cWhen TSMC invests so much capital and takes its most advanced manufacturing processes to the United States, what has Taiwan gained in return?\u201d <a class=\"css-yywogo\" href=\"https:\/\/www.ly.gov.tw\/EngPages\/List.aspx?nodeid=46080\" title=\"\" rel=\"noopener noreferrer\" target=\"_blank\">Wang Hung-wei<\/a>, a legislator from Taiwan\u2019s opposition Nationalist Party, said at a news conference this week.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-3\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">TSMC executives have previously insisted that the company would keep its most advanced factories in Taiwan. The company has invested billions growing deep roots and a network of highly specialized suppliers in Taiwan. While it has opened new factories in Japan and Arizona, its most cutting-edge chips are still made in Taiwan.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Mr. Lai\u2019s government has been trying to respond to complaints from Mr. Trump that Taiwan spends too little on its own defense, has a disproportionate trade surplus with the United States, and has stolen the semiconductor business from American companies.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Any rupture with Mr. Trump would be a crisis for Taiwan, which has for decades turned to the United States as its chief political and military supporter against potential threats from China. Beijing claims the island as its territory and says it could use force to take it if its leaders see no hope for peaceful unification.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-4\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">Last month, <a class=\"css-yywogo\" href=\"https:\/\/english.president.gov.tw\/News\/6908\" title=\"\" rel=\"noopener noreferrer\" target=\"_blank\">Mr. Lai promised to increase<\/a> Taiwan\u2019s military spending to over 3 percent of its economic output, from about 2.45 percent this year. Mr. Trump and officials around him have said that Taiwan should be devoting 5 percent, or even 10 percent, of its economy to its military.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-5\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">Mr. Trump announced TSMC\u2019s new commitments with Mr. Wei by his side at the White House on Monday. The investment would help TSMC avoid tariffs on chips made in Taiwan, Mr. Trump said.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">The investment will expand TSMC\u2019s footprint in Arizona from three manufacturing plants to six, add 25,000 jobs and create a research and development center to develop production processes. Apple is the facility\u2019s largest customer. TSMC also makes chips for Nvidia, AMD, Qualcomm and Broadcom.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Despite its global importance, TSMC has shied away from media attention, and its executives rarely take questions from journalists. Mr. Wei, the chief executive, suggested that he did not relish the attention.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">\u201cLife has been a bit stressful lately,\u201d he said, \u201cmeeting two presidents in such a short time, and to also have to meet with friends from the media, and then answer questions.\u201d<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n\n","protected":false},"excerpt":{"rendered":"<p>President Lai Ching-te of Taiwan on Thursday sought to reassure his citizens that a plan by a Taiwanese chip giant to spend $100 billion in the United States would benefit&hellip;<\/p>\n","protected":false},"author":516,"featured_media":3607,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","enabled":false},"version":2}},"categories":[3],"tags":[],"jetpack_publicize_connections":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v24.5 - 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