President Donald Trump said on Tuesday that he had threatened the Taiwan Semiconductor Manufacturing Company with a “large tax” up to 100% if the flea manufacturer had not built his factories in America.
Trump spoke out during a dinner organized by the Republican Committee of the National Congress when he criticized the Bipartisan flea law, which President Joe Biden signed in 2022.
“These flea companies are loaded. They give these companies billions of dollars to build a factory in the United States. They do not build them in the United States,” Trump said in his remarks on Tuesday.
The Biden administration said in November that it had allocated to TSMC up to $ 6.6 billion in funding to build three flea factories in Phoenix. The first TSMC factory in Phoenix was initially faced with construction delays, but began to produce fleas last year.
Last month, TSMC said that it would invest $ 100 billion to build five new flea factories in the United States. The company said the investment was in addition to 65 billion dollars it announced in April 2024.
Trump said on Tuesday that he convinced the TSMC to deepen his manufacturing footprint in the United States without offering more funding.
“All I did is say:” If you don’t build your factory here, you will pay a big tax. 25, maybe 50, maybe 75, maybe 100% “, said Trump.
TSMC refused to comment when it is approached by Business Insider.
Trump has threatened companies with prices in the past. During the campaign campaign in September, Trump said he would impose a 200% rate on John Deere if the agricultural equipment company moved to Mexico.
Last week, Trump announced a list of reciprocal rates on more than 180 countries. The prices, which start at a reference rate of 10%, entered into force on Wednesday.
Commerce secretary Howard Lunick said Thursday that even if the prices did not apply to semiconductors, Trump still thinks about how he can restore the tip of the United States in the creation of fleas.
“Donald Trump will study them deeply. And they will come later to the way to resonate from Taiwan all this semiconductor manufacture,” said Libnick. “We must protect ourselves at some point. America must be able to protect itself.”
The representatives of the White House did not respond to a request for BI comments.
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