TAIPEI (Taiwan News) — National Development Council Minister Paul Liu (劉鏡清) on Monday said that even if US President Donald Trump levies heavy tariffs on semiconductors, TSMC would not be significantly impacted.
Liu, who also serves on TSMC's board, told Nikkei Asia, “TSMC is investing directly in the US, so only 1% of its semiconductor components are sold directly to there.” In March, the chipmaking giant announced it would invest another NT$3.29 trillion (US$100 billion) to build five more facilities in the US.
Regarding the impact of tariffs on Taiwanese businesses, Liu said 75% of exports are currently unaffected. The remaining 25% mostly consist of steel, aluminum, and other goods that are already subject to tariffs.
He said Taiwan is in talks with US states hosting Taiwanese facilities to ease the tax burden, particularly in semiconductor hubs such as Texas and Arizona. He expressed hope that Taiwanese companies building plants in the US will be granted favorable tax incentives.
Liu also commented on allegations that a former TSMC employee at the Taiwanese subsidiary of Japanese firm Tokyo Electron was involved in leaking TSMC trade secrets. "The company's response will be determined based on the investigation,” he said.
He emphasized that Taiwanese firms have built strong ties with Japanese semiconductor equipment makers, adding that the incident will not mar that relationship.
Liu also emphasized Taiwan’s efforts to attract global talent. The NDC plans to relax requirements for hiring graduates from top international universities and plans to expand the program later this year.
Speaking at the Japan-Taiwan Innovation Summit in Tokyo on Monday, Liu said, "When Taiwanese startups expand globally, Japan is often chosen for the first stop.” He attributed this to cultural similarities between the two countries and called for deeper exchanges between Taiwanese and Japanese startups.
Amidst a Cabinet reshuffle, Liu announced on Wednesday that he has tendered his resignation due to health reasons, per CNA. Upon returning to Taiwan from a visit to Japan on Tuesday, Liu sent a late-night letter of thanks to the NDC's leadership, saying that he would continue working until Friday and would then focus on treatment.
