TAIPEI (TVBS News) — Taiwan Semiconductor Manufacturing Company announced plans to build a second fab in Arizona in December 2022, raising its investment in the U.S. to US＄40 billion. Having long operated locally, TSMC's move shocked the world, hinting at a change in its global strategy.
TVBS commentator Wenchi Yu invited the author of "Chip War: The Fight for the World's Most Critical Technology," Chris Miller, and the former deputy secretary-general of Taiwan's National Security Council, Philip Yang, to delve deeper into the global chain of semiconductors and Taiwan, particularly TSMC's, unique position within.
Miller pointed out that though the production of semiconductors is a global process, there is little doubt that Taiwan has an irreplaceable place in the world.
"In Taiwan, the Taiwan Semiconductor Manufacturing Company (TSMC) is the world's largest chipmaker and also the producer of the world's most advanced processor chips which gives Taiwan a position of unique importance," Miller emphasized.
However, it is due to this that many have expressed concerns over TSMC's recent decision to build fabs in the U.S.
"A lot of people worry about another effect so called the "de-Taiwanization," Yang said. Still, he believes that from the perspective of the United States, the country is more worried about the chip-making and supply chain resilience.
Miller also put to rest some of the fears, pointing out that major investments from the TSMC is still going into the factories in Taiwan.
"If anything, I think Taiwan is going to play an even more important role in the chip industry in 10 years' time than it does today," the author said, adding that it's "certainly where companies are betting with both their statements, but also their investment dollars."
Factoring Taiwan's geopolitical challenges and global supply chains, the future of semiconductor production in Taiwan is sure to continue to be a main focal point for the world.