TSMC “Forbidden” To Manufacture 2nm Chips Outside Taiwan; Raising Questions On The Future of TSMC-US Ambitions

Taiwan has reportedly “forbidden” TSMC to manufacture 2nm chips in foreign lands, as the government believes that the nation needs to protect its “exclusive” technologies.

TSMC Won’t Be Allowed To Produce Cutting-Edge Nodes Outside Taiwan, Hinting Towards A Fall-Out In US-Taiwan Relations

Well, it looks like Taiwan isn’t quite happy with the progress TSMC is making in the US, especially after the remarks by President-elect Donald Trump, who claimed that Taiwan is stealing US semiconductor technology. The two nations, who held key relations during the Biden administration, are apparently witnessing a fall-out, as seen in remarks by Taiwan’s Minister of Economic Affairs. He claims that TSMC’s 2nm core technology will remain in Taiwan despite the ambitions of the foundry to take it abroad.

Since Taiwan has related regulations to protect its own technologies, TSMC cannot produce 2-nanometer chips overseas currently. Although TSMC plans to make 2-nanometer chips [abroad] in the future, its core technology will stay in Taiwan.

– via TaipeiTimes

TSMC has benefited tremendously under Biden, participating in the world’s largest semiconductor incentive, the “CHIPS” Act, which ultimately prompted the development of the Arizona facility, which is now slated for opening in December. TSMC is said to initially manufacture 4nm/5nm processes in the US facility, with plans to expand up to 2nm by the end of the decade. However, it looks like the Taiwan government isn’t too well off with the “technology transfer” to the US.