Taiwan is ramping up efforts to safeguard its semiconductor tech, particularly around Taiwan Semiconductor Manufacturing Company (TSMC), the world’s leading chipmaker. A new bill aims to stop the unauthorized transfer of key technologies abroad, mainly to China, amid rising concerns over economic espionage and talent poaching.
Strict Penalties Ahead
The proposed law includes harsh penalties for those who leak trade secrets or tech vital to Taiwan’s national security. Those found guilty could face up to 12 years in prison and hefty fines. A specialized court will be set up to handle economic espionage cases, speeding up trials and strengthening protection for the country’s high-tech industries.
The government is also tightening control over foreign investments in Taiwanese tech firms. Foreign companies will face stricter rules to prevent them from acquiring sensitive tech through investments or partnerships that could be used to transfer knowledge.
TSMC at the Center
As Taiwan’s top chipmaker, TSMC is at the heart of these measures. The company already faces restrictions on transferring its most advanced tech to overseas factories. For instance, production of 2-nanometer chips is limited to Taiwan, with expansion to other locations only after domestic production begins.
Global Watch
These moves reflect the growing tension between Taiwan and China, as well as Taiwan’s concern about maintaining its technological edge and protecting its economic sovereignty. The international community is closely watching developments, given Taiwan’s crucial role in the global semiconductor supply chain.