Updates and Analysis: Trump’s Tariffs on Canada, Mexico, and China Loom on Tuesday

TSMC Poised to Announce $100 Billion Investment in US Plants

(Bloomberg) — Taiwan Semiconductor Manufacturing Co. (TSMC) plans to invest $100 billion in chip plants in the US over the next four years. President Donald Trump is set to announce this at the White House later today, according to a person familiar with the matter.

TSMC, the world’s leader in advanced semiconductor production used for artificial intelligence, aims to bolster Trump’s pledge to make the US dominant in AI. The source, who described the plans on condition of anonymity ahead of the announcement, confirmed earlier reports by The Wall Street Journal.

Trump has repeatedly accused Taiwan of “stealing” the US chip industry and threatened tariffs on foreign-produced semiconductors. Top US officials have consistently affirmed their commitment to boosting domestic manufacturing, especially for technologies central to the US-China competition.

The president has expressed a preference for using tariffs to boost US chipmaking instead of government subsidies—the approach adopted by the Chips Act under President Joe Biden. That legislation, passed in 2022, led to TSMC winning $6.6 billion in grants to support three plants in Phoenix.

During Trump’s first term, his administration lured TSMC to the US partly out of national security concerns. When TSMC first announced its investments in an advanced plant in the US in 2020, Trump officials said chips made by the Taiwanese chipmaker in Arizona would power everything from artificial intelligence to F-35 fighter jets.

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