TSMC Chairman Dismisses Mainland Chip Competition Amid AI Boom

During the annual meeting on Thursday, C.C. Wei, chairman of Taiwan Semiconductor Manufacturing Co (TSMC), assured shareholders that the company is "not afraid" of competition from mainland Chinese firms such as Huawei Technologies and Semiconductor Manufacturing International Corp (SMIC). He highlighted that competition has been a part of TSMC's journey for 40 years and expressed confidence in their manufacturing prowess to maintain a lead. Wei also addressed investor concerns regarding TSMC's 16-nanometre plant in Nanjing, noting robust local government backing, strong customer demand, and efficient operations, with no asset risks. His remarks come as Beijing intensifies efforts to establish a self-sufficient semiconductor supply chain amid US export restrictions. SMIC's wafer utilization rose by 3.5 percentage points year-on-year in Q1, despite a monthly capacity increase of 9,000 8-inch equivalent wafers. TSMC continues to be the largest contract chipmaker globally, with its position strengthened by the AI surge boosting advanced chip demand.