U.S. Aims to Halve Reliance on Taiwan for Advanced Chips, Commerce Secretary Says
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Top Trump administration officials have declared a push to dramatically reduce U.S. reliance on advanced semiconductors from Taiwan, with a target of producing up to half of the nation’s supply domestically or in allied countries.
U.S. Commerce Secretary Lutnick said the goal is for 50% of the advanced chips America needs to be made within its own borders. His comments, made in an interview with News Nation this weekend, echoed U.S. Treasury Secretary Scott Bessent’s remarks last week that 30% to 50% of the U.S. supply must be shifted to the U.S. or to allies such as Japan and countries in the Middle East.
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- The Trump administration aims to produce 40–50% of advanced semiconductors domestically or with allies, reducing heavy reliance on Taiwan.
- Taiwan currently manufactures 95% of the world’s most advanced chips; the shift would require major investment, estimated at $500 billion.
- Officials cite national security concerns, acknowledging the U.S. was only producing 2% of its high-end chips domestically as of January 2025.
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