US Commerce Secretary Howard Lutnick proposed a 50-50 chip production split between Taiwan and the US, raising investor concerns about Taiwan’s semiconductor sector.

Lutnick suggested in a NewsNation interview that the US and Taiwan could each produce half of all chips.

TSMC is building three advanced wafer fabs in Arizona with a US$65 billion investment and started commercial production at its first plant in late 2024.

In March 2025, TSMC committed another US$100 billion for US facilities, including fabs, IC assembly plants, and an R&D center.

Taiwan’s vice premier Cheng Li-chiun rejected the 50-50 production split, while researcher Liu Pei-chen said investors are watching TSMC’s Japan and Germany projects and its 2-nanometer process for 2025.

🔗 Source: Focus Taiwan