Overview
- The Commerce Department casts the pact as building U.S. chip industrial parks, with reported $250 billion in credit guarantees to expand domestic supply chains.
- TSMC signals roughly $165 billion of U.S. investment and accelerates Arizona fabs after raising capital spending on strong AI-driven demand.
- China’s foreign ministry condemns the agreement as having sovereignty implications and urges adherence to the One-China principle.
- The package includes targeted tariff measures such as 0% duties on certain generics and aerospace components and Section 232 import allowances tied to new U.S. chip capacity.
- U.S. officials say Taiwanese chipmakers that do not produce in America could face tariffs up to 100% as Washington seeks to relocate about 40% of Taiwan’s semiconductor supply chain.