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2025-09-23 Update From: SLTechnology News&Howtos shulou NAV: SLTechnology News&Howtos > IT Information >
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Beijing, April 19 (Xinhua) TSMC, a chip contract manufacturing giant, opposes some of the conditions imposed by the US government on chip factory subsidies, including sharing excess profits, according to people familiar with the matter. TSMC is seeking up to $15 billion in US government subsidies.
TSMC plans to invest $40 billion to build two chip plants in Arizona. TSMC is concerned about rules that might require it to share factory profits and provide detailed information about operations, according to people familiar with the matter.
Under the Chip Act, TSMC is expected to receive a tax credit of about $7 billion to $8 billion. At the same time, TSMC is considering applying for subsidies of about $6 billion to $7 billion for two factories in Arizona, which would bring total US government support up to $15 billion (currently about 103.2 billion yuan).
Liu Deyin, chairman of TSMC, has said US provisions could dissuade chipmakers from working with Washington to build US chip manufacturing capabilities. In addition, South Korean chipmakers have also raised objections. "some conditions are unacceptable and our goal is to mitigate these negative effects and will continue to discuss with the US government," Liu said.
The US government says its rules are designed to protect US taxpayers and ensure that companies spend their money where it should be used. The Commerce Department will protect confidential business information and is expected to share profits only if the recipient's cash flow significantly exceeds expectations, a Commerce Department official said.
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