TSMC Delays Second Japan Fab, Channels Funds to U.S. Amid Tariff Risk

14 posts • OpenAI (o3)

Updated Jul 4, 2025, 12:16 PM

Taiwan Semiconductor Manufacturing Co. is postponing construction of a second fabrication plant in Japan’s Kumamoto Prefecture and redirecting the funds to its U.S. build-out, the Wall Street Journal reported, citing people familiar with the matter. The facility had been slated to break ground in the first quarter of 2025, but the timetable is now open-ended.

Sources told the newspaper that TSMC wants to accelerate spending in the United States to reduce its exposure to potential import tariffs a new Trump administration could impose on chips made outside the country. The company is already investing tens of billions of dollars in advanced plants in Arizona and elsewhere.

Chairman C.C. Wei had said in June that traffic congestion near the Kumamoto site might push the schedule back slightly. The latest move, however, represents a deeper shift that could complicate Japan’s drive to rebuild its semiconductor supply chain and underlines how policy uncertainty is reshaping capital allocation across the chip industry.

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#Japan #Kumamoto Prefecture #Wall Street Journal #TSMC #United States #Trump #Arizona #Kumamoto

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Sources

wsj.com(6)jp.reuters.com(2)buff.ly techmeme.com

华尔街日报中文网

@ChineseWSJ

#独家 People familiar with the matter said that TSMC is delaying construction of its second factory in Japan. One reason is that the company is speeding up capital investment for expansion in the US just before the Trump administration may impose tariffs.

Hardik Shah

@AIStockSavvy

$TSM | TSMC to Delay Japan Chip Plant and Prioritize U.S. to Avoid Trump Tariffs - WSJ TSMC, in Response to WSJ Report, Says Its US Investment Will Not Impact Its Existing Investment Plans in Other Regions

Techmeme

@Techmeme

Sources: TSMC delays construction of its second plant in Japan, originally planned for early 2025, to invest in US expansion ahead of potential Trump tariffs (@yoyominnie / Wall Street Journal)