TAIPEI (Taiwan News) — US President Donald Trump on Wednesday in Washington proposed tariffs of up to 100% on all imported semiconductors, with potential exemptions for companies investing in domestic production.
The proposed duties would apply to all foreign-made chips, Trump said. However, companies that have already committed to US manufacturing — or are currently building local facilities — may qualify for exemptions, per CNA.
It remains unclear which countries would be affected by the measure.
Taiwan Semiconductor Manufacturing Co, a key supplier to US firms such as Nvidia, already operates fabrication facilities in the country. The company is also expanding its presence in Arizona, which could potentially shield its products — and its clients — from the proposed tariffs, Reuters reported.
Trump noted that some US chipmakers had previously shifted production overseas, including to Taiwan. However, he acknowledged that many are now increasing their US investments.
He warned that firms failing to complete their planned US facilities could face retroactive penalties.
On Tuesday, Trump claimed TSMC plans to invest up to US$300 billion to build what he described as the world’s largest semiconductor facility in Arizona. However, TSMC did not confirm the figure, stating that investment details should be based on official company disclosures.
Earlier this year, TSMC announced an additional US$100 billion investment in its US operations, bringing its total planned US investment to US$165 billion. The company intends to build six chip fabrication plants, two advanced packaging facilities, and a research and development center in Arizona to meet rising demand from American clients.
