President Donald Trump has threatened to introduce tariffs on Taiwan-made chips, which could hit Nvidia, one of TSMC's biggest customers.

Semiconductor business between Taiwan and the United States is a "win-win" model for both sides given the high level of complementarity, the government said on Tuesday in response to tariff threats from U.

President Donald Trump's nominee to head the U.S. Commerce Department will tell senators on Wednesday he will "take a thoughtful and rigorous approach" to overseeing the agency but did not offer any specifics on tariffs or China policy.

President Donald Trump previously criticized the CHIPS and Science Act, leading to speculation over whether the law could be repealed or tweaked under the new administration.

Jan. 27, 6:30 p.m. EST President Donald Trump said at a House Republican retreat that the launch of the AI model was “a positive development” but should be considered a “wake-up” call for U.S. industries, lauding the move for what he hoped would usher in a future of “coming up with a faster method of AI, and much less expensive method.”

Imposing tariffs on imported pharmaceuticals could weigh on Japan, home of major drugmakers such as Takeda, Astellas, Daiichi Sankyo and Eisai, which has been expecting strong sales growth in the U.S. of its Alzheimer's disease drug Leqembi.

The semiconductor business between Taiwan and the United States is mutually beneficial, with Taiwan being a critical player in the global technology supply chain. Despite tariff threats from Donald Trump,

Leading AI chip maker Nvidia dropped 17% at the start of the week, pulling US stocks down in what president Donald Trump said was a "wake-up call" for US tech companies.

On Monday, as DeepSeek’s recently introduced innovations wiped over $1 trillion off the value of U.S. stocks, and just days after announcing a privately funded $500 billion AI infrastructure push, President Donald Trump said DeepSeek’s rise was “a wake-up call for our industries that we should be laser-focused on competing to win.”

Plus: Kash Patel, Trump's pick to lead the FBI, and his role in Jan. 6 misinformation | Trump pledges sweeping tariffs on steel, semiconductors

Experts say regardless of the US president’s latest manoeuvres, a hanging sword dangles over the US-China trade war that is expected to intensify, with semiconductor microchips in the crosshairs.