WASHINGTON: The Trump administration has revoked Taiwan Semiconductor Manufacturing Company’s authorisation to export United States chipmaking equipment to China without a licence.
This decision further restricts China’s access to American technology by terminating the validated end-user programme for selected semiconductor manufacturers.
TSMC confirmed receiving official notification that its validated end-user authorisation for its Nanjing facility will end on 31 December 2025.
The company stated it is evaluating the situation and communicating with US authorities while ensuring uninterrupted operations at its Chinese plant.
As the world’s largest contract chipmaker, TSMC produces semiconductors for major clients including Nvidia and Apple across various applications.
Most of TSMC’s advanced manufacturing capabilities remain located in Taiwan, which China claims as part of its territory.
Taiwan’s economic ministry acknowledged the US move would affect operational predictability at the Nanjing facility.
Officials noted the Nanjing plant represents only about three percent of TSMC’s total production capacity and even less of Taiwan’s overall chip output.
The ministry concluded this development would not impact Taiwan’s broader industrial competitiveness.
The Commerce Department’s Bureau of Industry and Security will allow former validated end-user participants 120 days to apply for export licences after publishing new rules.
Licences will permit existing China-based plants to continue operations but not expand capacity or upgrade technology. – AFP
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