IT Pro is supported by its audience. When you purchase through links on our site, we may earn an affiliate commission. Learn more

Senate Democrats question TSMC’s U.S.-based chip factory

Top Senate Democrat Chuck Schumer urges transparency amid national security concerns

According to a recent Reuters report, Democratic lawmakers have asked that the Trump administration answer serious questions related to Taiwan Semiconductor Manufacturing Co’s (TSMC) plans to build a $12 billion U.S.-based plant. The Democrats cited national security concerns and yet-disclosed subsidies as their key concerns. Though the Trump administration has cited TSMC’s plans as a success, top Senate Democrat Chuck Schumer disagrees. 

While Schumer and colleagues Patrick Leahy and Jack Reed are strong supporters of the administration’s efforts to build semiconductor plants in the U.S., the group is urging additional transparency in relation to the deal. Schumer and his colleagues have also asked that the administration consider companies, such as Micron, GlobalFoundries and Cree, which already have a significant presence in the U.S.

“We have serious questions as to how this project takes into consideration national security requirements and how it aligns with a broader strategy for building a diverse U.S. semiconductor manufacturing supply chain,” the group wrote in response to TSMC’s plans.

“We ask that you cease any such negotiations or discussions until you have briefed the relevant authorization and appropriations committees with your plans, including any commitments you have made to funding, tax breaks, licensures, or other incentives,” they added.

At this time, U.S. Commerce Secretary, Wilbur Ross, the Pentagon and TSMC have yet to disseminate their comments on the matter.

TSMC announced it would build a chip factory in the U.S. last week. The announcement was heralded by Ross, who at the time shared it was “yet another indication that President Trump’s policy agenda has led to a renaissance in American manufacturing and made the United States the most attractive place in the world to invest.”

Featured Resources

Accelerating AI modernisation with data infrastructure

Generate business value from your AI initiatives

Free Download

Recommendations for managing AI risks

Integrate your external AI tool findings into your broader security programs

Free Download

Modernise your legacy databases in the cloud

An introduction to cloud databases

Free Download

Powering through to innovation

IT agility drive digital transformation

Free Download

Most Popular

Former Uber security chief to face fraud charges over hack coverup
data breaches

Former Uber security chief to face fraud charges over hack coverup

29 Jun 2022
Macmillan Publishers hit by apparent cyber attack as systems are forced offline
Security

Macmillan Publishers hit by apparent cyber attack as systems are forced offline

30 Jun 2022
FCC commissioner urges Apple and Google to remove TikTok from app stores
data protection

FCC commissioner urges Apple and Google to remove TikTok from app stores

29 Jun 2022