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TSMC threatens to pay 5 percent duty and fine if not factories in the United States


US President Donald Trump has threatened to pay up to 5 percent tax to Taiwan's semiconducting company TSMC if the factory is not built in the United States. Meanwhile, the company may have to pay $ 1 billion or more for export control or export control investigation.

“I did not give them any money,” Trump said at the Republican National Congressional Committee (RNCC). The only thing I said, if you do not make the factory here, you have to pay great taxes. '

At the same time, criticizing the administration of former President Joe Biden, Trump said a government grant of $ 1.3 billion has been given to produce semiconductor in Phoenix, Arizona, TSMC. He thinks 'Semiconductor companies did not need any grants.'

TSMC has not yet commented on the matter.

TSMC, the world's largest contract, is the Chipmeaker. Last March, the White House reported that they would invest $ 1 billion in the United States, including the plan to build five new chip factories over the coming years.

In addition, the US Ministry of Commerce can be fined TSMC $ 1 billion ($ 1 million). Because a company's chip is alleged that the Chinese company is being used in the AI ​​(artificial intelligence) processor in Huawei. If the complaint is proved, the TSMC may be fine. According to two sources related to the matter, the news agency Reuters said.

The US Ministry of Commerce is investigating whether the TSMC is producing a Chinese -based Softo company. According to them, the design of the chip ordered the Chip -ordered Huawei's Ascend 1B AI processor. If this information is proved in the investigation, the TSMC will have to pay a big fine. Because China's Huawei is on the list of US commercial sanctions. It is prohibited to supply products using US technology for companies on this list.

Lanert Heme, a researcher at the RAND Technology and Security and Policy Center at Arlington, Virginia, said that TSMC has produced about 3 million chips in recent years, which matches the chips ordered chips ordered. It is believed that these chips are probably reached Huawei.

That is why TSMC may have a fine of $ 1 billion or more. Because the US export control rules may be fined up to twice the value of transactions.

Since TSMC's chip production tools include US technology. So the Taiwan -based factories are subject to US export control. This is why Huawei will not be able to make a chip for TSMC or a sophisticated chip for any Chinese customer will be required.

Researcher Lennart Hame said such designs are basically made for AI applications. So TSMC's chips should not be made for the Chinese company. Especially when they were at risk of reaching a forbidden organization like Huawei.

The news in the US has reduced the shares of TSMC in the United States.

Currently, no formal action has been taken against the TSMC. Generally, the Ministry of Commerce sends a 'proposed chargesheet' if a company proves the prohibited activities against a company. It is given a violation of the violation, the price and the fine and the company is asked to respond within 7 days.

Last March, TSMC said they would invest $ 1 billion in the United States, as part of which there were plans to build five new chip factories in the coming years.

The issue of this penalty is coming at a time when the US-towan relationship has begun discussion. Last week, the Trump administration imposed a 12 percent tariff on imported goods from Taiwan. Although these tariffs do not apply to the chips, Trump says its government is considering the imposition of new tariffs on the semiconductor industry.

When the Parliament Organization Reuters asked for the matter, a spokesman for the US Ministry of Commerce did not comment.

In a statement, however, TSMC spokesman Nina Kaw said the company was committed to obey the law and they were cooperating with the US Ministry of Commerce. He also said that TSMC has not provided any product to Huawei since September 2021.

Taiwan finance minister Ku Jhi-Hue told reporters in Taipei that TSMC respects laws and regulations. However, his ministry has not received any notice on any possible fine and he will not be able to comment on the matter.

US Commerce Secretary Howard Latnik highlighted the importance of strict enforcement of export restrictions at a conference in Washington last month. “We are going to raise the penalty against those who are very quickly and tightly under this administration,” he said.

Last February, Deputy Minister of Industry and Security of the Ministry of Commerce of the US Commerce Jeffrey Kesler said the news of supplying chips to Huawei from TSMC was a big concern.

In addition, BIS Segate Technology Holdings was fined $ 1 million due to sending a 5.7 billion worth of hard disk drive to Huawei in 2021.

Last September, TSMC Chip was found inside Huawei's Ascend 1B AI Accelerator. The TSMC then postponed the chip supply to Softo and the US Ministry of Commerce imposed a ban on supplying seven nanometers or advanced chips to China last November.

In addition, the softo company has also been included in the same trade list as Huawei.

Huawei's Asland 3B Chip is known as the most advanced AI chip of the Chinese company, which is seen as an alternative to US company Nvidia.



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