TSMC to unveil $100bn investment in advanced manufacturing in the US

MT HANNACH
5 Min Read
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Taiwan Semiconductor Manufacturing Company will unveil an investment of $ 100 billion in advanced manufacturing in the United States while the largest flea manufacturer in the world is trying to ward off possible tariffs on Taiwan tokens.

A White House official said TSMC announced the investment on Monday, while CEO CC Wei meets President Donald Trump.

This decision is the last opening by business to AssetWhile companies announce measures to appease the president in the midst of his aggressive thrust to impose samples on American trade partners.

Last week, Apple announced that it would spend more than $ 500 billion in the United States over the next four years.

TSMC has already hired $ 65 billion to build manufacturing facilities in Arizona. It was not clear if the investment of $ 100 billion was a separate financing commitment or included part of the money previously promised.

Trump threatened to impose prices on flea imports, which would have a dramatic impact on the economy of Taiwan. Taipei has considered a range of measures to appease its administration, in particular by offering to buy weapons in the United States.

TSMC said it was “happy to have the opportunity to meet the president and expect us to discuss our common vision of innovation and growth in the semiconductor industry”.

Pressure has been based on TSMC for months after Trump’s repeated accusations that Taiwan has “stolen” the activity of American semiconductors.

The prices would expose TSMC to the pressure of its American customers to exhaust some of the costs. However, his greatest concern was that Trump could cancel a Biden era contract under which Washington agreed to support his American facilities with more than $ 6 billion in grants.

When asked in January if he would attend the inauguration of Trump, Wei said he would not, adding that “we keep a low profile”, continuing an approach that the company has followed since its creation in 1987.

The investment marks a new expansion of the TSMC imprint in the United States. During Trump’s first term, the group initially committed to building a manufacturing plant using five nanometers technology, but then agreed to use 4 Nm technology in the installation.

He also agreed to build a second installation which would use 2 nm by 2028, predicting to be the most point and set up a third fab in the United States by the end of the decade.

This expansion increased the planned investment in TSMC in Arizona to $ 65 billion.

Unlike its customers such as NVIDIA, which designs and markets fleas, or Intel, which designs semiconductors but also manufactures a little, TSMC produces exclusively fleas to the conceptions of others.

This approach allowed him to improve his skills in execution in the increasingly complex manufacturing of cutting -edge chips. TSMC now has a share of more than 90% of the market to make the most advanced fleas.

TSMC’s latest announcement, which was reported for the first time by the Wall Street Journal, comes after Trump administration officials have floated in recent weeks for the group to intensify its investments in the United States to appease the president.

The proposals included the TSMC helping to manage the FABS for Intel, which has lagged behind its Taiwanese rival in advanced manufacturing.

Another idea involved an investment in TSMC shares in Intel, or a spin-off of the US operations of the Taiwanese flea manufacturer in a company with a participation of the United States government, according to people familiar with the situation.

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