Taiwan Semiconductor Navigates US Tariff Threats Amid Investment Surge

Taiwan Semiconductor Manufacturing Company (TSMC) is navigating significant geopolitical challenges and investment pressures as it engages in a $100 billion deal to enhance its U.S. operations. Despite concerns over U.S. tariffs and the impact of Donald Trump's policies, TSMC aims to retain its advanced semiconductor technology in Taiwan while expanding its manufacturing capabilities in the U.S. The Taiwanese government is assessing this investment to ensure it aligns with national interests, while TSMC's stock has shown bearish sentiment among large investors. Amidst a broader market decline influenced by these geopolitical tensions, TSMC and other semiconductor stocks have faced significant price pressures. The company's strategy to diversify its production and R&D in the U.S. aims to strengthen ties with major American clients like Apple and Nvidia, which may help mitigate risks associated with the ongoing U.S.-China relationship. Analysts suggest that TSMC's long-term prospects remain strong despite current market volatility.