Taiwan’s Economics Minister Wang Mei-Hua (王美花) said in an interview on Wednesday that TSMC’s plan to open a factory in Kaohsiung remains unchanged.
After CEO C.C Wei (魏哲家) confirmed with reporters that TSMC is delaying its plan to open a factory in Kaohsiung, many speculated that the chipmaker is pulling the plug on its expansion plan altogether and potentially decreasing its investment in Taiwan.
In response to the speculation, Minister Wang reassured the public that TSMC’s goal to make Taiwan its global hub remains unchanged. She added that TSMC is adjusting its production strategies to confront global inflation and market changes. Wang said TSMC will hold a press conference next week to disclose more details on the matter.
In addition to the chipmaker’s expansion plan in Taiwan, many are concerned about TSMC’s investment in Arizona. The plan is going ahead under the CHIPS Act, a federal statute aiming to boost the United States’ domestic research and manufacturing of semiconductors. The act provides grants and subsidies to chipmakers around the world in exchange for investment on American soil.
However, TSMC said that some of the restrictions and regulations listed in the statute are difficult to comply with. South Korean President Yoon Suk Yeol has also expressed concerns about the act from Korean companies Samsung and SK Hynix.
Wang said the Act is currently in its 60-day review period and that TSMC is currently in talks with the U.S. to clarify the requirements. She added that the government will assist TSMC in communication if needed.