U.S. Pushes Taiwan for 50-50 Semiconductor Deal as TSMC Expands U.S. Investment

The U.S. is pressuring Taiwan to agree to a new semiconductor manufacturing plan, aiming for a 50-50 split between domestic and Taiwanese chip production. Commerce Secretary Howard Lutnick emphasized the need for half of America's chips to be made domestically, while still relying on Taiwan for the other half. The goal is to boost U.S. production to 40% by the end of the current presidential term, requiring over $500 billion in local investment.

Taiwan currently dominates advanced semiconductor production, with TSMC supplying major U.S. firms like Nvidia and Apple. The Trump administration has tied this initiative to trade and defense, suggesting Taiwan should increase contributions for U.S. military support amid tensions with China.

TSMC continues to expand its U.S. footprint, signaling a strategic shift in global semiconductor supply chains. The MOVE underscores the growing intersection of technology, trade, and geopolitics.