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# Trump Threatens TSMC with 100% Tax, Dismisses Biden's Chip Subsidies
- URL: https://www.implicator.ai/trump-threatens-tsmc-with-100-tax-dismisses-bidens-chip-subsidies/
- Published: 2025-04-09T13:18:26.000Z
- Updated: 2026-02-18T03:31:39.000Z
- Description: President Trump threatened TSMC with up to 100% import taxes if it fails to build plants in the United States. He made these remarks at a Republican National Congressional Committee event, taking aim at both the semiconductor giant and Biden's chip policies.
- Author: Marcus Schuler
- Tags: Politics

The president criticized Biden's $6.6 billion grant to TSMC's Arizona operations. "I gave them no money," Trump declared. "All I did was say, if you don't build your plant here, you're going to pay a big tax."

TSMC has already committed to a $100 billion U.S. investment, including five new chip facilities. The company announced these plans at the White House in March. This expansion marks a significant shift from their previous $65 billion investment target.

The timing is noteworthy. TSMC faces a potential $1 billion penalty over export control violations related to Huawei Technologies. The investigation centers on chips that ended up in Huawei's AI processors.

Trump claims his approach drove TSMC's expanded investment without taxpayer money. He suggested tariffs could range from 25% to 100%, though specifics remain unclear. TSMC declined to comment on Trump's statements.

**Why this matters:**

- Trump's threat reveals a stark divide in U.S. chip policy: Biden bets on carrots, Trump on sticks
- The world's top chipmaker finds itself caught between American politics and Asian markets - a preview of challenges facing global tech companies