China Accuses Taiwan of Distributing Semiconductor Technology to the US as “Souvenirs” While TSMC Prepares to Become US-Dominant

The ongoing semiconductor rivalry has taken an intriguing turn, with China accusing Taiwan of essentially “surrendering”its semiconductor prowess to the United States. In this context, the Taiwan Semiconductor Manufacturing Company (TSMC) has been dubbed a “souvenir”by Chinese officials, who assert that Taiwan is leveraging its technological assets to gain political favor from the U. S., particularly during the Trump administration.

China Claims TSMC Could Become “United States Semiconductor Manufacturing Co.”

There is little doubt that TSMC has shown a pronounced tilt towards U. S.semiconductor ambitions. This shift is partially driven by lucrative prospects in the U. S.market, compounded by the pressure exerted by the Trump administration’s tariff threats directed at the company. As a response, TSMC has significantly ramped up its investments in the United States. According to a spokesperson for China’s Taiwan Affairs Office, TSMC is seen as one of the critical assets that Taiwan is “offering”to other nations in a bid to solidify its independence.

In order to seek selfish gain, the Democratic Progressive Party authorities have freely made demands from external forces, using Taiwan’s semiconductor industry and powerful companies to get a foot in the door to relying on foreign countries to seek independence and even give them away as souvenirs.

– via Reuters

The U. S.has emerged as TSMC’s primary destination for investment, and the company has ambitious plans for expansion, signaling a shift in high-tech production away from Taiwan. Recently, it was reported that TSMC has already commenced 4nm chip manufacturing at its Arizona facility, with future plans to advance to 2nm technology. This commitment to the U. S.semiconductor landscape further underscores TSMC’s strategic realignment—something that hasn’t gone unnoticed by China.

China’s narrative suggests that TSMC is on the path to becoming what they term the “United States Semiconductor Manufacturing Co.”This assertion stems from TSMC’s dramatic pivot towards U. S.interests. The company finds itself navigating a precarious geopolitical landscape, caught between critical comments from U. S.President Donald Trump, who accuses Taiwan of appropriating U. S.chip technology without appropriate remuneration, and the scrutiny from China regarding its ongoing expansion in the U. S.

Currently, it is clear that TSMC has aligned itself more closely with the U. S.political agenda, aiming to establish an alternative production hub in the event of heightened tensions between China and Taiwan. This strategic shift signals a significant alteration in the global semiconductor balance, indicating that Taiwan’s centrality in the industry might diminish in the wake of such developments.

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