FILE PHOTO: Taiwan President Lai Ching-te poses for photo after inspecting reservists operating a Taiwan made Hummer 2 Drone during a training session at Loung Te Industrial Parks Service Center in Yilan, Taiwan December 2, 2025. REUTERS/Ann Wang/File Photo
TAIPEI, Jan 23 (Reuters) - Taiwan looks forward to even more semiconductor investment in Arizona to bolster ties with the United States, President Lai Ching-te told a visiting senator from the state on Friday.
U.S. President Donald Trump has pushed the major producer of semiconductors, which runs a large trade surplus with the United States, to invest more in the U.S., specifically in chips that power AI.
TSMC, the world's largest contract chipmaker and producer of the advanced chips powering the artificial intelligence revolution, is investing $165 billion in Arizona's capital, Phoenix, to build factories.
Meeting the Democratic Senator Ruben Gallego from Arizona, Lai said TSMC's investment in the state has been a notable product of the cooperation between Taiwanese and U.S. industry.
"We look forward to even more semiconductor manufacturing, research and development facilities springing up in the greater Phoenix area. This will continue to strengthen Taiwan-U.S. relations," he added.
Last week, Taiwan and the United States struck a deal to cut U.S. tariffs on the island's exports to the country to 15% from 20%.
Taiwan companies will also invest $250 billion to boost production of semiconductors, energy and artificial intelligence in the U.S., while Taiwan will also guarantee an additional $250 billion in credit to facilitate further investment.
Gallego is the first U.S. lawmaker or official that Lai has met in person since the agreement was reached.
"The amount of investment that is happening in Arizona right now from Taiwanese firms, especially TSMC, is impressive," he told Lai.
"We are the envy of other states and we want to continue to see that growth."
The United States is Chinese-claimed Taiwan's most important international backer and arms supplier, despite the lack of formal diplomatic ties.
(Reporting by Ben Blanchard and Yi-Chin Lee; Editing by Jacqueline Wong)
