In Taiwan, President William Lai Ching-te praised a major investment by a Taiwanese semiconductor company in Arizona as a promising example for the island’s efforts to establish independent computer chip supply chains. Speaking to Governor Katie Hobbs during her visit, President Lai highlighted TSMC’s commitment of $100 billion to construct three chip foundries, an R&D center, and two packaging facilities in Arizona. This investment follows a previous pledge of $65 billion to build three chip foundries in the state, with one already operational.
Both President Lai and TSMC emphasized that the decision to invest in Arizona was driven by customer demand rather than pressure from the Trump administration. Former President Trump had previously expressed a desire to bring back U.S. chip business that he claimed Taiwan had taken away. President Lai noted that Taiwan and Arizona were collaborating to establish a supply chain that does not include Chinese suppliers, as China has threatened military action to assert its claim over Taiwan.
TSMC assured that its U.S. development plans would not impact its operations in Taiwan, where it currently employs 10,000 individuals engaged in research and development of 1.0 nanometer chips. Taiwan is a major hub for advanced computer chip production, accounting for more than 90% of such production worldwide.
While the U.S. does not formally recognize Taiwan as a country, it remains a staunch supporter and primary arms provider for the island. The meeting between President Lai and Governor Hobbs was reported by Taiwan’s Central News Agency. The Arizona project is expected to generate 40,000 construction jobs over the next four years, along with numerous technology and manufacturing positions. Governor Hobbs expressed enthusiasm for Arizona becoming a key hub for advanced manufacturing, attracting substantial investment and creating high-paying employment opportunities.
Governor Hobbs lauded the TSMC project not only for its potential contributions to global technological advancements, such as artificial intelligence, but also for its role in strengthening bilateral relations.
