Trump Didn’t Give a Single Cent, Just Threatened?
US President Donald Trump once again sparked controversy when he threatened the world’s largest chip manufacturer, Taiwan-owned TSMC, to build a factory in the US or face a 100% tax.
This threat is considered an extraordinary pressure on the Taiwanese economy.
Even funnier was Trump’s statement that he would not give a single cent to TSMC, just a sweet threat — either do as they say or be willing to pay dearly.
Discussion? What is that?
Meanwhile, Taiwan had to fight hard to appeal to avoid the 32% tariff on its products.
The Taiwanese government offered to increase investment and purchases from the US and maintain zero tariffs on American goods.
Unfortunately, Taiwan’s stock market continued to tumble, forcing the government to activate a $15 billion stabilization fund to restore investor confidence.
More troubling, TSMC also faces the risk of a fine of more than $1 billion because its chips are believed to have reached Huawei.
Foxconn shares plunged 4%, while TSMC remained silent – perhaps in the process of budgeting for the additional $100 billion investment it promised in America.
