Taiwan’s Economy Minister, Kuo Jyh-huei, has announced plans to assess the potential impact of the US semiconductor tariffs on the island’s industry. The move is seen as a precautionary measure ahead of potential trade talks with the US government. Taiwan is home to TSMC, the world’s largest contract chip manufacturer, which has significant advanced chip production capabilities that both the US and China rely on. The assessment will estimate the likely tariff rates imposed by the US.
TSMC’s Growing Presence in the US
TSMC has been expanding its operations in the US, recently announcing a joint plan with NVIDIA to build an AI server worth $500 billion. The company has also revealed plans to invest $100 billion in the US, adding to its existing production base. These developments highlight TSMC’s growing presence in the US market and the potential implications of US tariffs on the Taiwanese semiconductor industry.
The outcome of the US-Taiwan trade talks will likely be influenced by the tariff rates imposed on the semiconductor sector. The assessment will provide valuable insights into the potential impact of these tariffs on Taiwan’s industry.