On March 3rd, Trump announced that Taiwan Semiconductor Manufacturing Company (TSMC), a leader in semiconductors and chip manufacturing, would invest $100 billion in the US. With this additional investment, TSMC will make its total investment in the US about $165 billion.
Massive Investment from TSMC
President Trump said this is a “tremendous move by the most powerful company in the world. It’s a matter of economic security; it’s also a matter of national security for us.” This investment is a big deal because TSMC is the supplier of semiconductors for major companies such as NVIDIA and Apple for artificial intelligence. It seems like Trump is getting his wish to make the US a leader in the future of artificial intelligence. This is also a wise decision from TSMC, as there will likely be massive growth within the US regarding AI. This will strengthen ties between Taiwan and the US, which may be helpful amidst potential complications in international relations.
Despite this investment, Trump has not always been a fan of the company. Last year, Trump accused the company of stealing some of the US chip manufacturing processes. Despite that, TSMC’s CFO, Wendell Huang, said he is confident in the company’s future within the US, as is President Trump.
Potential Impact
When announcing, Trump said, “The most powerful AI chips in the world will be made right here in America, and it will be a big percentage of the chips made by his company… This $100 billion in new investment will go into building five cutting-edge fabrication facilities in the great state that we just discussed, Arizona, and will create thousands of jobs and high-paying jobs.” Trump added, “Semiconductors are the backbone of the 21st-century economy and, really, without the semiconductor, there is no economy, powering everything from AI to automobiles to advanced manufacturing, and we must be able to build the chips and semiconductors we need right here in American factories with American skill and American labor.”
Featured Image Credit: Jeremy Waterhouse; Pexels: Thank You!
