Updated March 5, 2025, at 8:50 p.m. ET; first published at 3:59 p.m. ET.
During his address to Congress on Tuesday night, President Donald Trump made it clear that he’s not a fan of the U.S. Chips Act. This bold statement left many in the semiconductor industry scratching their heads, wondering what this means for the program’s future and how it could affect the role of some U.S. companies moving forward.
In the same speech, Trump highlighted a recent deal with Taiwan Semiconductor Manufacturing Co. Ltd.—commonly known as TSMC. The agreement promises a hefty investment of $100 billion for the expansion of chip factories in the United States, on top of the $65 billion already in the pipeline. It’s worth noting that this latest pledge comes entirely outside the funding from the Chips Act, which last November allocated $6.6 billion to support TSMC’s Arizona facilities.
