The U.S. government has revoked Taiwan Semiconductor Manufacturing Co.’s ($TSM) authorization to freely ship American chipmaking equipment to its Nanjing plant in China, ending its validated end user (VEU) status. The change, effective December 31, 2025, mirrors recent actions taken against Samsung and SK Hynix.
- TSMC confirmed the U.S. decision, stating it is evaluating measures and remains committed to Nanjing operations.
- The revocation requires suppliers to obtain individual licenses for U.S.-origin equipment, parts, and chemicals.
- Samsung, SK Hynix, and Intel previously lost VEU designations for their China facilities, adding about 1,000 new license requests annually.
- Compared to peers, TSMC’s China footprint is smaller, with its Nanjing site producing legacy 16nm technology and contributing only a small share of revenue.
- The move underscores Washington’s tightening controls on advanced semiconductor exports to China.
- The Bureau of Industry and Security said the action closes “export control loopholes” that could disadvantage U.S. companies.
Relevant Companies
- TSM – Faces licensing uncertainty at its Nanjing fab, though financial exposure is limited.
Editor’s Note: This is a developing story. This article may be updated as more details become available.
