[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
