The threat of President Donald Trump, which imposes up to 100 % tariffs on the Taiwanese semiconductor industry, has shocked a shock to Silicon.
NEWSWeek has received a request sent to the Ministry of State, TSMC, a semiconductor manufacturer of the Taiwan, and semiconductor manufacturers.
Why is that important?
Customs duties are taxes imposed by the government to protect domestic industries and raise profits. These costs are not depending on the exporter, but rather by the importers. After that, it is usually given to consumers.
Taiwan is a global chip supply chain lynche pin, about 60 % of semiconductors and more than 90 % of the most advanced semiconductors, including those used to power artificial intelligence.
What do you know
Trump, a self -proclaimed “tariff man”, has promised to use obligations for everything, from reducing the deficit and cracking down on drug trafficking to trade partners such as Canada and Mexico.
On Tuesday, the president opposed the Taiwanese high -tech industry, arguing that he had been stolen from the United States, and vowed that “the production of these important products will be returned to the United States.”
“And we don’t want to give them billions of dollars like this ridiculous program (former President Joe) Everyone gives billions of dollars. They already have billions of dollars. I am, “he said. By introducing “25, 50, and 100 % even 100 %”, their own US -based fab bills.
He stated that he was “watching” a potential import tax on other imports, including pharmaceuticals and steel.
I-HWA CHENG/AFP via Getty Images
The Taiwanese semiconductor manufacturing company (TSMC), the world’s largest contracted manufacturer, has invested in Arizona for $ 65 billion, one of the largest foreign direct investment in the history of chip making in the United States. We are building a factory.
The first is set to start the production of 4 nanometer (NM) chips earlier this year, but the second largest 3nm and 2nm chips will be completed by next year.
The United States was awarded the HSINCHU based in Taiwan, with a direct fund of $ 6.6 billion based on the Chips Scientific Law, signed by the law in 2022.
Customs duties will be a blow to TSMC, which is mainly in the United States in North American customers, which accounted for 70 % of the net income of the company.
“However, if Trump raised customs duties to 100 % in the imported Taiwanese chips, it did not drive Taiwanese semiconductors and electronic equipment to the United States,” said the Information Technology and Innovation Foundation.
“Instead, this policy will promote the cost of Americans, damage American high -tech companies, and unleash the world’s worldwide tariff wars that impair the relationships with important US allies.”
If Trump is imprecated to import Taiwanese chips, companies may probably build factories in other countries. Similarly, a decrease in China’s export obligations has been added to the Washington -based think tank if the US rivals themselves only increase the order from semiconductor manufacturers in the United States.
Trump’s comment was a Chinese open source chatbot comparable to Openai’s GPT-4O and other US models following the Deepseek’s R1 shock debut last week. The release raised questions about the effectiveness of the strict export management of Washington. This aims to prevent China from accessing advanced chips by quoting national security concerns.
“Taiwan and US semiconductors and other technical industries are very complementary to each other. Especially, Taiwan -designed Taiwanese design models that create business models that are advantageous for both Taiwan and US industries,” The ministry said. In a statement.
Prime Minister Jung Thai said that Taiwan would continue to seek international cooperation, guaranteeing that the island could maintain his position as a high -tech leader. “I will urgently consider whether it is necessary to create more cooperative plans and future support programs for the industrial sector in one or two days,” Reuters quoted.
What people are saying
Sean King, an Asian scholar and a vice president of the New York -based consultant park strategy, tells Newsweek: In order to compete with PRC’s efforts in this field, something like South Korea, Japan and Taiwanese friends are needed.
“Whether it’s technology or something else,” American First “doesn’t have to make the U.S. allies or partners at the end. We all need to stick together in a common rival. In short, it is not a free time for Taiwan and other friendly markets. “
Lev Nachman, a political scientist and assistant professor at the University of Taiwanese University, tells Newsweek:
“The US perception (in Taiwan) has already decreased in recent years as a reliable ally, and such a Trump comment does almost nothing to help the US image (…).
“Trump is ignorant of the history of semiconductors and the role of Taiwan, and both the United States and Taiwan have benefited from the semiconductor industry -based semiconductor industry, and someone in his circle is better. I really hope that you can help.
What is next?
Taiwanese chip industries are called “silicon shields” for the island, and they are facing the growing economic and military pressure from nearby China.
Beijing claims Taiwan as a territory, but the Chinese Communist Party has never governed it, but President Xi Jinping has not excluded using military power to achieve unification.
The United States is a major weapon on the island, and for decades, China has maintained a “strategic ambiguity” policy to keep Washington coming to Taiwan’s defense.
Trump’s comments have eroded Taiwan’s confidence to the United States in the lead -up of the election on November 5, including his statement that TAIPEI does not pay for us for protection.
