Taiwan's companies to invest another $20B in US
What's the story
Taiwanese companies are planning to invest an additional $20 billion in the United States, driven by the growing demand for artificial intelligence (AI) applications. The announcement was made by Taiwan's Economy Minister Kung Ming-hsin at a trade show in Taipei. A visiting US official welcomed the news, noting shared supply chain commitments between the two nations.
Strategic move
US pushing Taiwan to invest more
The United States, Taiwan's biggest international supporter and arms provider, has been pushing Taiwanese technology companies to invest more in America.
This is part of a larger US strategy to boost domestic semiconductor manufacturing.
Speaking at the opening of the US pavilion at the SEMICON trade show in Taipei, Minister Kung said Taiwanese companies are "very actively" investing in America.
Investment surge
AI and chip orders driving investments
Since May, when Taiwan attended the SelectUSA Investment Summit, the Ministry of Economic Affairs has been assessing which companies could be interested in further investments in America.
The result was an additional $20 billion from Taiwanese firms.
Minister Kung said that AI and chip orders were "extremely lively," drawing this interest from these companies.
Semiconductor expansion
TSMC's $100B investment in Arizona
Taiwan Semiconductor Manufacturing Company (TSMC) had announced a $100 billion investment in Arizona back in July.
This boosted its total planned investment to $265 billion.
The move is part of a broader effort to strengthen semiconductor supply chains, make them more resilient, and deepen tech ties between Taiwan and the US for future innovation.
Positive response
US Commerce Department official's remarks
Bill Frauenhofer, a US Commerce Department official overseeing the CHIPS Act, welcomed the announcement of Taiwanese companies' additional investments.
He said it shows their continued shared commitment to a secure, resilient and innovative semiconductor and electronics supply chain.
Frauenhofer added, "These projects will strengthen critical technology capabilities in the US and advance innovations that will shape our collective future for decades to come."