(source : ANI) ( Photo Credit : ani)
TSMC Sticks to Taiwan Plans Amid US Expansion Buzz
Taiwan’s leading chip giant, TSMC, has firmly stated that its investment strategy in Taiwan stays rock solid. This comes as rumors swirl about pausing work on a key factory in Chiayi County and shifting gear to the United States. The company shared this update with CNA on Thursday, brushing off speculation that could shake up the global semiconductor scene.
Reports from Taiwanese media, including Economic Daily News via Focus Taiwan, claimed TSMC halted construction on its second IC assembly plant in southern Taiwan’s Chiayi County. This plant was set to wrap up by 2026 and kick off mass production in 2028. But when CNA pressed for details, TSMC skipped the direct yes-or-no on the halt. Instead, they emphasized that their Taiwan commitments remain unchanged, no matter what.
The buzz points to pressure from Donald Trump’s administration pushing TSMC to speed up its US investments. Sources suggest the company might redirect equipment meant for the Chiayi plant to Arizona. There, TSMC is pouring in a whopping $65 billion to build three wafer fabs, with the first one already in commercial production since last year.
TSMC isn’t stopping there. They’ve promised another $100 billion over the coming years for three more wafer fabs, two IC assembly plants, and an R&D center in the US. If they do ship that IC assembly equipment stateside, it could signal a pullback on Taiwan projects, the reports warn.
Let’s rewind a bit: TSMC kicked off building two IC assembly plants in Chiayi back in 2024. These use cutting-edge Chip on Wafer on Substrate (CoWoS) tech to fuel the booming demand for AI chips. Earlier this year, TSMC’s CEO and Chairman C.C. Wei told everyone that ramping up US spending—driven by big American clients—won’t touch their Taiwan roadmap.
Yet, worries linger. Many fear that pouring more cash into the US could tighten budgets back home, potentially slowing down Taiwan’s semiconductor growth. As the world’s top contract chipmaker, TSMC’s moves matter big time for global tech supply chains, AI innovation, and even US-Taiwan ties.
For now, TSMC insists Taiwan stays a priority. We’ll keep an eye on how this semiconductor showdown unfolds.
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