TSMC investor conference to be watched for market outlook, U.S. tariff policies

Taipei, Dec. 29 (CNA) A Taiwan Semiconductor Manufacturing Co. (TSMC) investor conference scheduled for Jan. 16 will be closely watched for its market outlook and the potential impact of U.S. tariff policies, according to an analyst.

Liu Pei-chen (劉佩真), a researcher at the Taiwan Industry Economics Database of the Taiwan Institute of Economic Research (TIER), said she expects positive signals from the conference.

Taiwan's semiconductor industry is likely to exceed NT$6 trillion (US$186 billion) in output by the end of 2025, growing 16.5 percent year-on-year, with TSMC anticipated to outpace the average with a 20 percent increase, Liu told CNA.

She explained that artificial intelligence (AI) will continue to drive the growth of the semiconductor sector, with TSMC being the leading foundry for AI chips and benefiting significantly from rising demand.

Liu noted that TSMC's growth will be fueled by orders for NVIDIA's B200 and B300 chips, as well as demand for application-specific integrated circuits (ASIC) and AI processors for smartphones and computers.

In addition, the rising demand for 3nm and 5nm chips in AI applications will be key factors propelling TSMC's expansion in the coming year, Liu said.

Market focus is also on the potential impact of high tariff policies proposed by U.S. President-elect Donald Trump, who is set to take office on Jan. 20, she said.

Liu pointed out that TSMC may not face direct tariffs, as its chips are not directly exported to the U.S., but instead sent to system assembly manufacturers.

However, any increase in import duties on U.S.-bound goods could raise prices, potentially affecting both the U.S. and global economies, with indirect impacts on TSMC, she explained.