Key Points
- The U.S. granted TSMC a license to import chip equipment to its factory in China.
- The approval allows TSMC to continue operating its Nanjing facility without disruption. Samsung and SK Hynix have already received similar licenses.
- The previous exemption from U.S. export rules was set to expire on December 31.
- The new annual license avoids the need for individual permits for each shipment.
The U.S. government has granted Taiwan Semiconductor Manufacturing Company (TSMC) a special license to continue importing U.S. chip-making equipment for its factory in Nanjing, China. The world’s largest chipmaker confirmed the news on Thursday, saying the approval will allow for “uninterrupted” operations and deliveries.
This move puts TSMC in the same position as the South Korean giants Samsung and SK Hynix, which received similar approvals earlier. These companies had been operating under a special exemption from Washington’s strict rules that limit the sale of high-tech gear to China. That exemption was set to expire at the end of this year.
Without a new license, it would have been very difficult for these companies to keep their Chinese factories running.
The new annual license means TSMC’s Nanjing facility can continue to procure the U.S. equipment it needs without obtaining a separate license for each shipment. This is a significant concern for the global supply chain, as it ensures that one of the world’s most important chip factories can continue production without major disruptions.
The U.S. has been tightening its restrictions on technology exports to China for years, citing national security concerns. However, this decision indicates that Washington is willing to make exceptions for major global players like TSMC to avoid disrupting the semiconductor market.
The new license was granted just before the old one expired, providing stability for the chip industry as it enters 2026.
