Trump's Tariff Warning to TSMC Sparks Semiconductor Debate

President Trump warned TSMC of a 100% tax if it doesn't build plants in the U.S., criticizing the Biden administration for a $6.6 billion grant to the company for its semiconductor production in Phoenix.

In a significant warning to the Taiwan Semiconductor Manufacturing Company (TSMC), President Donald Trump announced a potential 100% tax if the tech giant fails to establish its plants in the United States.

At the Republican National Congressional Committee event, Trump criticized former President Joe Biden's administration for approving a $6.6 billion grant aimed at bolstering TSMC's semiconductor production facilities in Phoenix, Arizona. He argued that such financial aid is unnecessary for semiconductor firms.

This statement fuels ongoing debate over the government's role in supporting technology firms and the strategic importance of domestic semiconductor production.

(With inputs from agencies.)