Gov’t Should Not Use Our Industry Risks to Help Trump's Electoral Chances

Gov’t Should Not Use Our Industry Risks to Help Trump's Electoral Chances

United Daily News Editorial (Taipei, Taiwan)

May 31, 2020

 Translation of an Excerpt

TSMC recently announced that it would invest in an advanced stage plant in Arizona, USA. The New York Times described the investment case as "Trump's victory," but Trump's victory was based on the risk of TSMC, and it was the Tsai government that personally marched to the frontline of the US-China tech war, using Taiwan industry’s risks to help Trump’s electoral prospects.

No matter in terms of cost or business, TSMC's establishment of a factory in the United States will not see huge benefits in the short and medium terms, and there are many hidden concerns in the medium and long terms. In addition to being involved in the confrontation between the United States and China, it may endanger the deployment of TSMC on the Mainland. The US attempt to shut down Huawei has also alerted the Mainland that it must develop the semiconductor industry independently.

While the Tsai government is "happy to see the fruition of TSMC's plans to set up a factory in the US," TSMC has recruited lobbying experts in the US to expand its department for government relations in order to strengthen communication with Washington to reduce the impact of US-China frictions, revealing different atmospherics. The Tsai government should not forget, using TSMC’s risks to help Trump’s electoral chances, would to a lesser extent lose TSMC shareholders’ rights and interests, and would to a greater extent, affect the prospects of Taiwan’s semiconductor industries. Using Taiwan’s largest company by market value and the industry with the largest output value to trade for Trump’s short span attention, will the bet be too big?

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