Taiwan Semiconductor Manufacturing Co (TSMC) on Monday last week announced that it would invest US$100 billion to establish several more plants in the US. The news has attracted fierce criticism from many members of the Chinese Nationalist Party (KMT), spearheaded by former president Ma Ying-jeou (馬英九), who is claiming that the move would hollow out Taiwan’s resources.
However, remarks made by American Institute in Taiwan (AIT) Director Raymond Greene via the AIT’s official Facebook page made it clear that the US views the investment as emphasizing the deep connections between two global technological and economic powers, and represents a strengthening of Taiwan-US cooperation. In contrast, the KMT legislators are acting like China’s coconspirators.
The KMT — which survived by relying on US aid — has become a spokesperson for China, opposing the US at every turn.
TSMC’s move is to dispel external concerns about its investment in Intel and tariffs. Considering TSMC’s capital and global layout, US$100 billion is hardly an astronomical figure.
However, the company has earned the trust of US President Donald Trump, which is equivalent to obtaining a hall pass to freely enter the US market. Whether from the perspective of business competition or corporate governance, TSMC’s decision is wise and reasonable.
Taiwan has gained US recognition as a technological “powerhouse” — a powerhouse allied with the US. Greene also said that TSMC’s announcement “strengthens the economic prosperity and security of both the US and Taiwan.” From this, it is clear that TSMC’s investment would contribute to the nation’s security.
Looking back, when Taiwan’s tech industry was effectively a barren wasteland, it was the US that taught Taiwan about semiconductor technology. Did the US ever accuse Taiwan of “hollowing out” its resources?
TSMC founder Morris Chang (張忠謀) once said that although Intel was reluctant to acquire a stake in TSMC, it still placed large orders to help TSMC establish its footing.
Now, nearly half a century later, Taiwan’s semiconductor industry leads the world. Taiwan benefits from a democratic supply chain, and TSMC’s investment in the US is part of the two countries’ longstanding tech collaboration. Why attempt to exaggerate and paint it in such a negative light?
It was the US that aided the KMT so it could survive and rebuild after losing the Chinese Civil War. US military assistance is what allowed it to establish itself in Taiwan. Yet today, the KMT is consistently suspicious of the US and engages in anti-US rhetoric. Is their intention to drag Taiwan into China’s abyss?
Lin Tzu-yao is a doctoral student at National Taiwan University’s Department of Political Science.
Translated by Kyra Gustavsen
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