Taiwan Semiconductor Manufacturing Co. (TSMC) received NT$67.1 billion (US$2.2 billion) in subsidies from the US, Germany, Japan, and China during H1 2025.

The company’s latest financials show NT$35.2 billion (US$1.2 billion) in Q1 and NT$32.0 billion (US$1.1 billion) in Q2.

Over the past 18 months, total subsidies from these four governments reached NT$142.3 billion (US$4.7 billion).

TSMC said the funds went toward property, equipment, factory construction, and operational expenses as part of its global expansion.

Its subsidiaries in Arizona, Dresden, Kumamoto, and Nanjing signed agreements with local governments for this financial support.

The company is building several new fabs globally, with ongoing projects in the US, Japan, Germany, and China.

🔗 Source: Focus Taiwan

🧠 Food for thought

1️⃣ Government subsidies highlight semiconductor manufacturing as strategic national priority

TSMC’s subsidy collection across four different countries demonstrates how semiconductor manufacturing has become a critical national security and economic priority for major economies.

The company received NT$142.29 billion ($4.73 billion) in government support over just 18 months from the US, Germany, Japan, and China combined1.

This level of financial commitment from multiple governments simultaneously is remarkable, especially considering these countries often compete economically and geopolitically.

The subsidies represent substantial portions of TSMC’s expansion investments, with Arizona alone offering aid representing 25 percent of certain investments in the state1.

Each government is essentially paying TSMC to establish local manufacturing capacity, showing how critical semiconductor production has become to national infrastructure and economic security.

2️⃣ Operational timeline reveals varying infrastructure readiness across global markets

TSMC’s expansion timeline across different countries shows how local infrastructure capabilities directly impact manufacturing deployment speed.

Recent TSMC developments