After Tariffs, U.S. Grants TSMC Annual Chip Tool Access to China

The United States has granted Taiwan Semiconductor Manufacturing (TSMC) an annual license to import U.S.-made chipmaking equipment to its facilities in Nanjing, China. That’s why the company can continue operations at one of its key mainland production sites, the company said on Thursday, January 1, 2026.

The approval “ensures uninterrupted fab operations and product deliveries,” TSMC said in a statement to Reuters, following the expiration of prior exemptions tied to Washington’s export controls on China.

South Korea’s Samsung Electronics and SK Hynix have also received similar licenses, which allow them to continue importing controlled U.S. equipment for their China operations.

Previously, several Asian chipmakers operated under “validated end-user” exemptions from sweeping U.S. restrictions aimed at limiting China’s access to advanced semiconductor technology. Those exemptions expired on December 31, requiring companies to apply for export licenses for 2026 and beyond.

“The U.S. Department of Commerce has granted TSMC Nanjing an annual export license that allows U.S. export-controlled items to be supplied to TSMC Nanjing without the need for individual vendor licenses,” TSMC said, reiterating that the move safeguards production and deliveries.

TSMC’s Nanjing facility produces 16-nanometre and other mature-node chips, rather than the company’s most advanced semiconductors. TSMC also operates a chipmaking plant in Shanghai. In its 2024 annual report, the company said the Nanjing site accounted for about 2.4% of total revenue.

The licensing decision underscores Washington’s shift from blanket exemptions toward a more targeted, license-based approach, which maintains oversight while avoiding abrupt disruptions to global chip supply chains.

Source: US Allowed TSMC to Import Chipmaking Tools