TSMC went to the United States to set up a factory because of subsidies

    According to the Taiwan Economic Daily, TSMC founder, Zhang Zhongmou (Morris Chang), said in an interview recently that the United States is expensive, wasteful and futile to increase domestic chip production. Simply put, the U.S. is 50% more expensive than Taiwan. It is also much more expensive to carry out production in the U.S. than in China. In this regard, semiconductor industry analyst Lu Xingzhi said that he agrees with the founder of TSMC. However, he does not know if there is a “step that allows TSMC to change its plan.”

    TSMC 3nm process

    Lu Xingzhi points out that the reason why TSMC went to the United States to set up a factory was mainly because it thought that it could get subsidies to reduce some costs before considering it. Therefore, 20,000 5nm mini advanced factories were planned in the early stage. However, all doesn’t seem to be going according to plan as the US government grants official document has not come down. Thus, there may be no subsidies if TMSC wants to expand its production in the future.

    The main reason for the change of this is probably the change in government in the U.S. Former president Trump was so interested in the production of high-end chips locally in the U.S. He is the architect of the TSMC – U.S. deal. However, he is no longer in power and the new government seems to have bigger issues to deal with.

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