Advertisement

My Take | With Trump, it’s payback time for Taiwan’s chips industry

The Dutch ASML has been slowly strangled by Biden with export restrictions to China. Now it’s the Taiwanese TSMC’s turn under the president-elect to hand over the manufacturing assets or pay high tariffs

Reading Time:3 minutes
Why you can trust SCMP
9
US president-elect Donald Trump has previously said that Taiwan “stole our chip business”. Photo: TNS
Alex Loin Toronto

When you bargain with the devil, you don’t get to set the terms. So good luck to Taiwan for trying to keep its most advanced chip manufacturing on the island.

Advertisement

Kuo Chih-hui, the island’s minister of economic affairs and himself an industry veteran, has declared the government is legally bound to prevent chipmakers from producing 2-nanometre (nm) chips abroad, read, in the United States.

He made the statement as soon as Donald Trump was elected, saying domestic tech protection regulations require Taiwan Semiconductor Manufacturing Company (TSMC), the jewel of the island’s chip industry, to produce its most cutting-edge technology at home.

I am sure Trump has the highest regards for the laws and regulations of Taiwan when it comes to hi-tech protection and transfer.

The government of William Lai Ching-te is reportedly alarmed that TSMC might be forced to produce 2nm chips at its fabs in Arizona ahead of schedule.

Advertisement

“Since Taiwan has related regulations to protect its own technologies, TSMC cannot produce 2-nanometre chips overseas currently,” Kuo told lawmakers on the economics committee of the Legislative Yuan last week.

Advertisement