Taiwan Assures Support For US Auto Chip Shortage: Reuters - Taiwan Semiconductor (NYSE:TSM)

Taiwan Economic Minister Wang Mei-Hua acknowledged receipt of a letter from the White House on the global shortage of auto chips and assured a resolution, Reuters reports.
Automakers including Volkswagen AG (OTC: VLKAF) (OTC: VLKPF), Ford Motor Co (NYSE: F), and General Motors Co (NYSE: GM) resorted to production holidays to beat the crisis with strong possibilities of reduced production going forward.
U.S. chip companies, including Intel Corp (NASDAQ: INTC), Qualcomm Inc (NASDAQ: QCOM), Micron Technology Inc (NASDAQ: MU), and Advanced Micro Devices Inc (NASDAQ: AMD), reached out to President Biden for a possible solution. Incentives were promised to Samsung Electronics Co Ltd (OTC: SSNLF) for a New York plant. Apple Inc’s (NASDAQ: APPL) major chip supplier Taiwan Semiconductor Mfg Co Ltd (NYSE: TSM), is looking forward to a $12 billion chip plant in Arizona to come online by 2024.
Reportedly, Wang met the local chip makers previously on the issue. “Going forward, manufacturers are doing what they should,” she said.
The chip shortage has become a diplomatic issue as Germany’s economy minister has also written to Wang asking for help.
TSM plans to raise its capital expenditure to $28 billion this year to resolve the crisis.
Price action: TSM shares are down 1.47% at $134.64 in the pre-market session on the last check Monday.