JAKARTA – Taiwan Semiconductor Manufacturing Company (TSMC), the Taiwanese chipmaker, announced a massive investment of USD 100 billion (approximately IDR 1,643 trillion) to support chip production in the United States (US).

US President Donald Trump praised this move, calling TSMC the most powerful company in the world. He described the investment as an extraordinary step to strengthen TSMC's position in the global semiconductor industry during a joint press conference with TSMC CEO C.C. Wei at the White House on Tuesday (4/3).

With this additional capital, TSMC's total investment in the US reaches USD 165 billion (around IDR 2,712 trillion). The funds will be used to build five new semiconductor fabrication facilities in Arizona, producing electronic devices to enhance the domestic chip supply chain.

This decision aligns with Trump's administration's efforts to make the US a hub for artificial intelligence (AI) development. Previously, Trump announced a multi-billion-dollar AI infrastructure project with Oracle, OpenAI, and SoftBank.

Furthermore, Trump has repeatedly called for the return of semiconductor production to the US after years of companies choosing to operate abroad.

On Monday (3/3), Trump emphasised that increasing semiconductor production in the US is not just about economics but also national security. He even accused Taiwan of taking over the US chip manufacturing industry and supported import tariffs to protect domestic producers.

Wendell Huang, TSMC's Chief Financial Officer, expressed confidence that the new US administration would continue to support their expansion ambitions in the country.

"TSMC began establishing its footprint in the US in 2020 with an initial USD 12 billion investment for the first plant in Arizona, which later increased to USD 65 billion with the addition of a third plant," he said. (DK/ZH)