Taiwan Semiconductor Manufacturing Co., Ltd. Sponsored ADR (TSM.US) CFO: "Chip Act" will not stop! Confident in continuing to receive funding during the Trump administration.

The newly elected U.S. President Donald Trump is about to enter the 2.0 new era. Taiwan Semiconductor Manufacturing Co., Ltd. Sponsored ADR (TSM.US) believes that the Trump administration will continue to provide funding for the company's projects in the United States. As part of the Biden administration's "CHIPS and Science Act," this Taiwanese company, the largest chip manufacturer, has received a commitment of $6.6 billion to help establish three state-of-the-art chip manufacturing plants in Arizona. Wendell Huang, Chief Financial Officer of Taiwan Semiconductor Manufacturing Co., Ltd. Sponsored ADR, said in an interview that the funding is expected to continue to be gradually invested under Trump's leadership as the manufacturing plants reach construction and production milestones. Huang said, "In fact, in the fourth quarter of last year, we have already received the first batch of government support." He revealed that the contract chip manufacturer has received $1.5 billion in funding. Huang said that after experiencing some production delays, the first manufacturing plant in Arizona started producing advanced chips in the fourth quarter of last year. He added that the construction of the two Arizona plants is ongoing, with the second plant expected to be operational by 2028. Taiwan Semiconductor Manufacturing Co., Ltd. Sponsored ADR's first investment in Arizona was announced in May 2020, and the total investment in the company's three projects in Arizona eventually exceeded $65 billion. Most of the investment was committed after the bipartisan "CHIPS Act," signed by the Biden administration in August 2022, which promises to invest nearly $53 billion to boost the U.S. domestic semiconductor supply chain. Although the incoming president is expected to prioritize competition with China and the domestic manufacturing industry in his second term, there has been controversy over whether Trump and the Republican-led House will review the "CHIPS Act." During his presidential campaign, Trump publicly criticized the act and its high costs, arguing instead that tariffs would be a more effective strategy for reshoring chip manufacturing. However, industry experts believe that, as the CHIPS Act has bipartisan support, they expect Trump to largely retain the policy. Last Thursday, Taiwan Semiconductor Manufacturing Co., Ltd. Sponsored ADR announced record fourth-quarter profits due to strong demand for AI chips, causing the stock price to rise by nearly 4%. On Friday, the stock closed up 1.36%. During the earnings conference call after announcing the results, CEO and Chairman of Taiwan Semiconductor Manufacturing Co., Ltd. Sponsored ADR, Weijia Jia, emphasized the company's "long-standing good relationship" with the U.S. government and the commitments and support it has received at the federal, state, and local levels. He assured investors, "Let me guarantee you that we have had very frank and open communications with the current government and future governments." Last Thursday, Weijia also stated that the company would not attend Trump's inauguration ceremony, as it prefers to remain low-key.