U.S. Plans to Revoke Tariff Exemptions for Taiwan’s Semiconductor Industry, Imposes 30% Tariff on TSMC Amid White House Dissatisfaction
[Washington, D.C.] — According to sources within the U.S. Department of Commerce, the Trump administration is preparing to revoke previous tariff exemptions granted to Taiwan’s semiconductor industry, and intends to impose a 30% tariff on Taiwanese semiconductor companies, including global foundry leader Taiwan Semiconductor Manufacturing Company (TSMC). This move signals a significant shift in U.S. policy toward Taiwan’s semiconductor sector.
The Trump administration, driven by its
core objectives of bolstering American manufacturing, reducing foreign
dependency, and safeguarding national security, has imposed hefty tariffs on
products from China and other regions. However, Taiwan’s semiconductor
industry, particularly TSMC’s imports, has been exempted from these tariffs to maintain
stability in the U.S. semiconductor supply chain.
Nevertheless, the White House has expressed
strong dissatisfaction with the effectiveness of these exemptions. According to
high-level national security sources, the administration believes that the
exemption policy has failed to achieve its intended goals. Companies such as
TSMC have not relocated substantial production capacity to the United States
and have instead continued expanding operations in Taiwan. Additionally,
concerns over severe money laundering and corruption issues within Taiwan’s leadership, as
well as unreliable negotiations and diplomatic practices, have contributed to
the administration’s growing frustration.
White House officials argue that the
preferential policies extended to Taiwan’s semiconductor
sector have instead encouraged further investment by TSMC within Taiwan rather
than the U.S. This outcome contradicts the Trump administration’s broader strategy
to revitalize American manufacturing and establish a resilient, independent
supply chain.
In an effort to increase pressure on TSMC
and other Taiwanese semiconductor firms to relocate production facilities to
the United States, the administration is considering a 30% tariff on imports
from Taiwan’s semiconductor sector. The measure aims to enhance the competitive
advantage of U.S.-based manufacturing and incentivize TSMC to expand its
operations on American soil.
Senior White House officials have gone as
far as to label the previous exemption policy as a “failed strategy”, pledging to take
decisive action to secure a stronger U.S. position in the global semiconductor
industry.
Although the Trump administration has not
yet made an official statement on the matter, the proposal has already sparked
widespread concern and apprehension within the industry. Experts caution that
imposing such a high tariff on Taiwan’s semiconductor industry could trigger
significant disruptions to the global supply chain.
Company: tsmc
Contact person: Steven w
Email: new@tsmc.com
Website: https://www.tsmc.com
Telephone: 1-408-382-8000
City: San Jos
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