Last month, Commerce Secretary Howard Lotank said in ABCTV’s “This week” that smartphones, computers, chips, and others could be subject to “semi -conductor tariffs” that could be imposed in May or June. The world’s leading chip manufacturer, TSMC, has sent a message to the White House asking the president that if he makes chips in the United States, he needs to exempt TSMC and other companies that are willing to make chip manufacturing facilities in the United States with revenue and other imported restrictions.
Here is a contract. In Arizona, only one of the TSMC fibers is running at this location, which means that most of the company’s production operates in Taiwan. In this way, whatever chips exports to the United States will be subject to the semiconductor tariff with Trump’s head from Trump’s head. TSMC is not interested in eating additional import tax, but it is not ready to send additional costs to its US consumers.
Instead, using his sole lease against Trump, TSMC is playing hardball and indicating that he can make changes to his expansion plans in Arizona. In fact, TSMC agreed to spend $ 65 billion to make three fibes in the state, and one of them is now producing chips. It leaves two more fibers to build, as well as an additional three, which the TSMC said will cost 100 billion in its construction. But if Trump has decided to impose revenue on foreign -made chips sent to the United States, TSMC can decide to slow down, delay or cancel the remaining $ 165 billion investment.
“To allow investment like TSMC Arizona to move forward, the administration should exempt TSMC Arizona and other companies that are already linked to taxes or other imported restrictions for semi -conductor manufacturing projects in the United States.”
In a letter to the US Trade Department -TSMC
Even the TSMC has a good reason to make this risk. Foundry produces chips for American tech stars such as Apple, AMD, N. Vidia, and others. In a letter sent to the US Commerce Department, the TSMC wrote, “Low market demand for our leading US consumer products can reduce TSMC manufacturing capacity and beach service demand.”
TSMC has begun construction of its third plant in Arizona, which will produce 2 NMs and A16 (1.6NM) chips using Super Power Railback Side Power Delivery at the best level of TSMC. The latter allows Silicon Weifers to get electricity from the back rather than in front of the Weifer, where they have to fight with transistors and other contacts. This will improve the performance of chips using this technology.
Arizona’s convenience is not only important for the United States to make it more and more in chip manufacturing, it is also a big deal for TSMC itself. The company says “this facility will eventually have about 30 percent of the world’s gross capacity for TSMC’s 2NM and more advanced technology nodes.” This should allow the TSMC to meet the US Fabs’ demand for US semiconductor. As Trump gets this voice, the TSMC indicated that it will all end until the revenue on the semiconductor is eliminated.
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