Overview

• Vice Premier Cheng Li-chiun said Taiwan never agreed to a 50-50 split in semiconductor production and confirmed the idea was not discussed in the latest talks.
• U.S. Commerce Secretary Howard Lutnick has proposed relocating half of Taiwan’s output to ensure emergency capacity and has set a goal of reaching 40% to 50% U.S. market share in chips.
• Taiwan reported “certain progress” in Washington talks focused on tariffs and Section 232 findings, with a temporary 20% U.S. levy on Taiwanese exports still in place.
• Taipei has offered concessions including larger U.S. investments, increased energy purchases, defense spending above 3% of GDP, and plans to buy $10 billion in U.S. farm goods over four years.
• TSMC is investing about $165 billion in Arizona fabs but says most production, including leading-edge nodes, will remain in Taiwan, which currently dominates advanced chip manufacturing.