WASHINGTON, D.C.: The United States is hoping for a big investment boost from Taiwan as trade talks move forward, US Secretary of Commerce Howard Lutnick said Wednesday. Meanwhile, Taiwanese President William Lai highlighted the practical steps needed to turn those plans into reality.
“We’re in the midst of discussions,” Lutnick said. “But the bottom line is that this administration wants to bring semiconductor manufacturing back to America.”
Lai said Taiwan is on board with US President Donald Trump’s push to reindustrialise the country, particularly by ramping up domestic chip production—a move that could reduce America’s heavy reliance on Taiwan for semiconductors.
But Lai made it clear that for Taiwanese companies to commit, they need more than good intentions—they need concrete support. “Whether this target of 40 to 50 per cent domestic semiconductor sourcing can be achieved depends not only on Taiwan’s support but also on the US government’s ability to handle the practical details: land, utilities, workforce training, and incentives,” Lai said in an interview for the New York Times’ DealBook Summit.
Lutnick suggested the potential investment could be enormous—possibly exceeding US$300 billion. “TSMC [Taiwan Semiconductor Manufacturing Co.] is increasing its Arizona project to US$165 billion. Micron and Texas Instruments are also putting more into their US operations. Altogether, that’s about US$300 billion, and a deal with Taiwan could push it even higher,” he said, though he didn’t clarify whether TSMC’s plans are already counted in that figure.
Beyond dollars and factories, Lai said the talks aim to strengthen the US-Taiwan relationship more broadly. “We hope tariff negotiations will not only help reduce the trade deficit but also deepen economic cooperation, integrate Taiwan’s industries with the American economy, and strengthen our bilateral ties,” he said.
Taiwan has proposed a model where its companies can expand globally on their own, backed by government financial guarantees, while the US would provide support and incentives to help secure land and navigate regulations for new facilities.
“Our government supports TSMC and other Taiwanese semiconductor firms as they invest wherever needed—whether in the US, Japan, or Europe. This benefits everyone by advancing global progress and prosperity,” Lai said.
On workforce issues, Lutnick suggested Taiwan could help train US workers for advanced chip production. But Taiwan has emphasised that this is not part of current trade or tariff negotiations. Minister Without Portfolio Yang Jen-ni confirmed no formal commitment has been made, while Minister of Economic Affairs Kung Ming-hsin noted that companies like TSMC already run their own training programs for employees as they expand in the US.
With the continuing negotiations, the challenge is clear — bridge gaps in outlays, infrastructure, and labour force to make America’s semiconductor ambitions a reality. Taiwan’s role, as both ally and stockholder, will be vital in determining the succeeding episode of global chip manufacture.
