Taiwanese chipmakers expanding operations in the U.S

In March, President Donald Trump and C.C. Wei, the CEO of Taiwan Semiconductor Manufacturing Company (TSMC), announced a major investment in the U.S. worth $100 billion. This investment aims to support high-end chip manufacturing in America. Richard Lee, a leader in Taiwan's manufacturing industry, saw this as a necessary shift. He emphasized the need for Taiwanese companies to prioritize investments in the U.S. more than before. Taiwan's electronics firms are now moving to increase their presence in the U.S., driven by recent tariffs and trade threats from Washington. Companies like Foxconn Technology Group are collaborating with Apple to expand operations. They are planning to set up an AI server assembly site in Texas and have spoken with U.S. officials about further investments. Other Taiwanese firms are also stepping up. Wiwynn Corp. plans to invest $300 million in Texas, while Quanta Computer will spend $230 million building more AI servers. Compal Electronics is eyeing server factory projects that could create 1,500 jobs in the U.S. Despite uncertainty around Trump's policies and their impact on the economy, tech companies have pledged over $1 trillion in investments since he returned to office. However, challenges remain. TSMC has faced pushback from unions in Arizona, and Sysgration, another Taiwanese firm, is navigating high labor costs and complicated regulations for its U.S. factory. To manage costs, Sysgration is investing in automation, which will reduce the number of workers needed for production. Texas officials are actively supporting new businesses with incentives, including cash grants and tax rebates. However, the movement of factories to the U.S. has caused concern in Taiwan. The island is anxious about losing its position in the global tech supply chain and the security that comes with being a leader in semiconductor manufacturing. Taiwan’s President, Lai Ching-te, assured that TSMC's investment is vital for the future and confirmed that the government has faced no pressure from the U.S. regarding this deal.