A planned move by Taiwan Semiconductor Manufacturing Co. to locate some of its chip manufacturing facilities abroad will be “very beneficial” for Taiwan as it will let the chipmaker work more closely with customers and help it recruit the best talent, a senior government official said. .
Fears that Taiwan’s manufacturing leadership will erode as TSMC sets up factories abroad have permeated local commentators and surfaced in newspaper op-eds. TSMC is the world’s largest contract chipmaker, with Apple and Nvidia depending on it for their key products, and the island’s central location in the semiconductor supply chain is seen as a key part of international security.
“Our investments in semiconductors abroad are actually very beneficial to Taiwan, both economically and from a security perspective,” Taiwan Vice Minister of Economic Affairs CC Chen said in an interview on May 21. “First of all, they are close to their customers and close to the best talent, the best and the brightest. And third, they will work with their customers to develop the most advanced and most necessary technologies.”
