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TSMC Reports Record Profits, Expands to U.S. Amid China Pressure

TSMC's record profits fuel U.S. expansion. Despite China's territorial claims, the chipmaker is diversifying globally to meet demand and mitigate supply chain risks.

In this picture it looks like a pamphlet of a company with an image of a cup on it.
In this picture it looks like a pamphlet of a company with an image of a cup on it.

Chip Maker TSMC Reports Record Profit Again - TSMC Reports Record Profits, Expands to U.S. Amid China Pressure

China has stepped up its territorial claims on Taiwan, while the world's leading semiconductor manufacturer, Taiwan Semiconductor Manufacturing Company (TSMC), has announced significant investments in the United States. Meanwhile, TSMC continues to report record profits, driven by strong demand for AI chips.

TSMC, which produces chips for tech giants like Nvidia and Apple, has chosen Arizona for new factories. This marks a significant expansion into the U.S., with no other locations outside Taiwan and the U.S. confirmed. The company's CEO, CC Wei, cited strong demand for AI chips as a key driver for this expansion.

TSMC's headquarters and most of its factories remain in Taiwan. However, the company is diversifying geographically by building new plants in Japan and Germany. This move aims to alleviate investor and customer concerns about supply chain disruptions. Notably, the U.S.-China trade war did not significantly impact TSMC's profit growth.

Despite China's increasing pressure on Taiwan, TSMC continues to thrive, with record profits and major investments in the U.S. The company's expansion into new markets, driven by strong demand for AI chips, signals a strategic response to geopolitical tensions and supply chain concerns.

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