TSMC Focus Shifts to US Amid Tariff Concerns
Taiwan’s TSMC is reportedly considering delaying its chip plant project in Japan to focus on expanding operations in the United States. The move aims to avoid tariffs imposed by US President Donald Trump, according to the Wall Street Journal.
The report suggests that prioritising US operations would help TSMC mitigate the impact of new tariffs while maintaining supply to key customers in the country. TSMC is a critical player in the global semiconductor industry, producing advanced chips for leading technology firms worldwide.
However, the company has stated that its investment plans in the US will not affect its existing plans in other regions, including Japan.
TSMC Responds to Market Speculation
In a statement, TSMC said it would not comment on market rumours. The company emphasised that its global manufacturing expansion strategy depends on customer needs, business opportunities, and operating efficiency. It also considers the level of government support and cost factors when deciding on investments.
“TSMC does not comment on market rumour,” the company said, adding that it continues to evaluate its plans based on economic and operational considerations.
The semiconductor giant has been expanding its global footprint to meet rising demand for chips and to diversify production away from Taiwan, where the majority of its advanced manufacturing is based.
Japan Project Faces Possible Delay
TSMC’s potential delay in Japan could impact its planned plant in Kumamoto, which has been part of Japan’s broader push to strengthen its semiconductor industry. Japan sees chip manufacturing as a critical component of its economic security and technological competitiveness.
At the same time, the US has offered incentives and subsidies to attract chipmakers, aiming to boost domestic semiconductor production and reduce reliance on overseas supply chains.
While TSMC has confirmed its commitment to expanding in the US, it has not announced any official changes to its Japan plans. The company continues to balance its global operations to meet growing customer demand while managing geopolitical risks and trade policies.
As global chip demand increases, TSMC’s investment decisions will remain under close watch by governments and industry stakeholders worldwide.
with inputs from Reuters
