TSMC Won't Make Official Decision About Building U.S. Plant Until 2018

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Apple supplier Taiwan Semiconductor Manufacturing Company won't make a decision about moving some of its chip manufacturing into the United States until sometime in 2018, according to company spokesperson Michael Kramer (via Reuters).

Although recent reports have focused on Foxconn's potential move stateside for Apple-specific iPhone manufacturing, TSMC chairman Morris Chang in January mentioned that the supplier was not ruling out the U.S. as a location for one of its foundries.

Now TSMC is putting off an official decision until next year, with Kramer stating that the company would lose a lot of its "flexibility" if it moved production into the United States. Sources in Taiwan point towards a decision coming specifically in the "first half of 2018," with upwards of $16 billion potentially being invested in getting the American plant up and running.

"We won't make a decision until next year," TSMC spokesperson Michael Kramer said. The company currently gets about 65 percent of its total revenue from the United States.

"We would sacrifice some benefits if we move to the States. But we have flexibility in Taiwan. If an earthquake happened for instance (in Taiwan), we could send thousands of people here as support, whereas it's harder in the States," he told Reuters.

No Apple supplier has made an official decision about building a plant in the U.S as of yet. Last year, Foxconn looked to be in the preliminary stages of building an assembly plant in the U.S., but this month chairman Terry Gou raised uncertainties about such plans. Both TSMC and Foxconn have teamed up to bid on Toshiba's memory chip unit, although the latter company has reportedly lost ground in the bidding due to the Japanese government's fear of Foxconn's ties to China.

Note: Due to the political nature of the discussion regarding this topic, the discussion thread is located in our Politics, Religion, Social Issues forum. All forum members and site visitors are welcome to read and follow the thread, but posting is limited to forum members with at least 100 posts.

Tag: TSMC

Top Rated Comments

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42 months ago
They must be saving money for a new logo.
Score: 8 Votes (Like | Disagree)
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42 months ago

I love how this is a political blocked article because it mentions the US and manufacuting. You know someone is going to bring up President Trump and how somehow it will be bad to manufacture in the US.

Do you not see the irony in the fact that it was you?:)
Score: 5 Votes (Like | Disagree)
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42 months ago

Why? Will the chips work differently or the jobs differ in any discernible way?

to satisfy a American dream ego :)
Score: 5 Votes (Like | Disagree)
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42 months ago

I would prefer an American owned plant.


What is an "American owned plant"? A private company owned by some dude with a US passport?

Apple is not an "American owned" company, FYI. It's publicly traded, and owned by people of many nationalities. Dell, in contrast, is "American owned".
Score: 4 Votes (Like | Disagree)
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42 months ago
The future is Robots, anyway. Should focus more on Education to bring out future engineers, scientists, mathematicians, scholars or things benefiting art & marketing or creativity that Robots wouldn't compete. Can't believe America is starting to think manual labour, now. That's an aim, for a country like Bangladesh. Direct the expenditure from defence & mindless surveillance to Education, not some just kindergarten education but College education.
Score: 3 Votes (Like | Disagree)
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42 months ago

I would prefer an American owned plant.

Why? Will the chips work differently or the jobs differ in any discernible way?
Score: 2 Votes (Like | Disagree)

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