| | | Trump says TSMC would face 100% tax if it doesn't build in U.S.
Apr. 09, 2025 2:47 AM ET
By: Manshi Mamtora, CFA
U.S. President Donald Trump said that he warned Taiwan Semiconductor Manufacturing Company (NYSE: TSM) that it would face a tax of up to 100% if it did not build its factories in the U.S.
Speaking at a Republican National Congressional Committee event, Trump criticized former President Joe Biden's administration for giving a $6.6 billion subsidy for TSMC's Phoenix, Arizona operations, arguing that semiconductor companies do not need such financial support.
"TSMC, I gave them no money ... all I did was say, if you don't build your plant here, you're going to pay a big tax," Trump said.
TSMC declined to comment in an email to Seeking Alpha.
Last month, TSMC (NYSE: TSM) announced plans to invest $100 billion in the U.S., including building five additional chip facilities.
Meanwhile, Taiwan is seeking a swift resolution to U.S.-imposed 32% tariffs. Taiwan responded to such brutal levies with an offer of zero tariffs, and an offer to invest and buy more from the U.S.
Taiwan-related ETFs: (NYSEARCA: EWT), (NYSEARCA: FLTW). |
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