Taiwan

Taiwan’s top trade negotiator has informed the U.S. that relocating 40% of its semiconductor supply chain is “impossible.” This statement pushes back against U.S. ambitions to onshore a significant portion of Taiwan’s chip manufacturing. While Taiwan Semiconductor Manufacturing Co. is increasing its U.S. investments, analysts agree that the complex ecosystem and various other factors make such a large-scale relocation unfeasible.

Micron Technology is acquiring Powerchip Semiconductor Manufacturing Corporation’s P5 fabrication facility in Taiwan for $1.8 billion. This strategic move adds 300,000 square feet of cleanroom space and is expected to significantly boost Micron’s DRAM production capacity. The deal also includes a long-term partnership with PSMC for post-wafer assembly. Meaningful wafer output is anticipated to commence in the second half of 2027.

Taiwan’s $250 billion chip investment in the U.S. is a strategic move, boosting TSMC’s expansion and securing tariff reductions on Taiwanese goods. This, alongside TSMC’s strong financial growth and increased capital expenditure forecast, fueled gains in semiconductor and AI stocks. U.S. market sentiment was further bolstered by better-than-expected earnings from Goldman Sachs and Morgan Stanley. Meanwhile, oil prices dipped on eased Iran tensions, but global geopolitical issues, including NATO exercises in Greenland and ongoing developments in Iran, continue to shape market dynamics.

.Taiwan has imposed a one‑year ban on Chinese social‑media app Xiaohongshu (Rednote) after linking it to around 1,700 fraud cases costing NT$247.7 million. The Interior Ministry ordered ISPs to block the platform, citing failure in all 15 cybersecurity criteria and difficulty obtaining investigative data. The move, criticized by opposition as a crackdown on internet freedom, follows previous restrictions and a demand for remediation that went unanswered. The ban highlights growing geopolitical and regulatory risks for Chinese tech firms, prompting brands to diversify digital strategies and urging Xiaohongshu to overhaul security and fraud‑prevention measures.

Energy Plug Technologies Corp. has secured an exclusive distribution agreement with Taiwan’s SEETEL New Energy Co., Ltd. for their advanced energy storage systems in Canada, under the “MBT-SEETEL” brand. This partnership aims to supply critical infrastructure sectors like data centers and defense installations across North America. The deal includes dedicated Canadian production capacity and leverages a joint venture with the Malahat First Nation.

United Microelectronics Corporation (UMC) exceeded market expectations with strong June 2025 net sales. This robust performance highlights UMC’s resilient operations and strategic position in the dynamic semiconductor market. The foundry giant’s growth, fueled by demand in AI, automotive, and IoT, signals a promising outlook for the second half of 2025.

A recent report accuses five Taiwanese cyber espionage groups (APT-C-01, 62, 64, 65, and 67) of orchestrating attacks on mainland systems. The report, which directly links these groups to Taiwan’s “Cyber Warfare Unit,” highlights APT-C-67 (Ursula)’s alleged involvement in recent attacks, including targeting critical infrastructure. Experts note the groups utilize known vulnerabilities and rely on less sophisticated techniques, making them easier to detect. The report also highlights broader cyber threats and emphasizes AI’s role in future cybersecurity.

Intel skipped its traditional Computex 2025 keynote to celebrate 40 years of collaboration with Taiwan, a strategic partner vital to global semiconductor innovation. CEO Lip-Bu Tan shared his career transformation through lessons learned in Taiwan, emphasizing cultural adaptability and relationship-driven business. He highlighted Intel’s legacy of nurturing 30 local startups via five venture funds and outlined a collaborative foundry strategy prioritizing partnerships over control, aligning with Taiwan’s evolving role as a key contributor to next-generation computing technologies.