TSMC chair joins Lai for impromptu press event, in bid to dispel concerns

Taipei, March 6 (CNA) Just two days after unveiling massive new investment plans in America alongside U.S. President Donald Trump, TSMC Chairman C.C. Wei (魏哲家) joined President Lai Ching-te (賴清德) in Taipei on Thursday for another news conference.

Wei did not make any business announcements for the world's largest contract chipmaker, however he did try to reassure skeptics that the company's continued development in Taiwan will not be impacted by its overseas expansion.

"[TSMC's] plans in Taiwan will not be affected," Wei said at the previously unannounced event at the Presidential Office.

On the contrary, "[we] will accelerate them," he said of the company's plans announced earlier to establish 11 production lines in Taiwan this year.

Wei's comments came two days after he said in Washington, D.C. that TSMC would make additional investments worth US$100 billion in Arizona to build three advanced semiconductor foundries, two advanced packaging facilities and an R&D center.

That is in addition to the US$65 billion TSMC has already committed to invest in three foundries, one of which has begun operations.

The U.S. investment announcement, while likely exempting TSMC from the tariff measures Trump has threatened to impose on Taiwan's chip industry as part of his efforts to boost domestic chip production in the U.S., has sparked security concerns in Taiwan.

The company, which produces a majority of the world's advanced chips, has been described by Taiwanese leaders as an asset that would help protect the country from outside aggression.

On Wednesday, Legislator Wang Hung-wei (王鴻薇) of the main opposition Kuomintang urged the government to clarify if the pledged investment would shield Taiwan from trade wars and if Taiwan will be able to maintain its semiconductor edge once TSMC moves its most advanced processes to the U.S.

Asked by reporters about the matter, Wei did not directly respond to the question but said the company's production lines in Taiwan work in tandem with its R&D centers to develop and optimize advanced processes.

He stressed that TSMC's expansions, whether in the U.S., Japan or Germany, have always been driven by client demand, noting that demand in the domestic market also continues to grow.

Meanwhile, Lai said the Trump administration continues to emphasize the importance of cross-Taiwan Strait peace and stability as an indispensable element of security and prosperity for the international community, citing a joint statement between the U.S. and Japan earlier this month.

TSMC's expansions have not only made the company stronger and more competitive, but also benefited Taiwan's chip industry and provided other suppliers with opportunities to engage with the global market, Lai said.

The president called TSMC's investment announcement at the White House "a historic moment in Taiwan-U.S. relations," adding that the government will continue to support the company as it seeks to expand at home and abroad.

Following the press event Thursday, the KMT legislative caucus issued a statement, criticizing the president for allowing a foreign government to undermine Taiwan's "silicon shield," warning that the nation's high-tech industry is at risk of being hollowed out.

The caucus said that TSMC's decision to build advanced chip plants in the U.S. could trigger a mass exodus of Taiwan's high-tech supply chain and jeopardize the country's security.