TSMC Q2 Profits Up 60% Despite Tariffs, FX Concerns

TaiwanPlus News

Taiwan’s semiconductor giant TSMC has announced a record-breaking US$13.5 billion in profits for the second quarter of 2025, marking a 60% jump from the previous year, though concerns about U.S. tariffs and appreciation of the New Taiwan dollar have made the company’s outlook for 2025 more cautious.

Transcript

00:00Record high profits once again, as Taiwan chip giant TSMC reports profits of $13.5 billion

00:08U.S. dollars, a 60% jump over the same quarter last year, and a record high for the company.

00:14That should be good news for investors worried about the impact of potential U.S. tariffs

00:18and the rapid appreciation of Taiwan's currency against the U.S. dollar.

00:22CEO and Chair CeCe Wei acknowledge that those factors, especially the exchange rate, have

00:27affected the company, and that has made the company's outlook for 2025 more conservative,

00:33with a prediction of 30% revenue growth for the full year.

00:36We take into consideration the possible impact of tariffs and a lot of other uncertainties.

00:45But I guarantee you, with our technology leadership position and excellent manufacturing, if there

00:55are any opportunities we want to catch.

00:59Executives also addressed the recent announcement from TSMC customer NVIDIA that the U.S. may

01:04lift export controls and allow sales of its H20AI chip in China.

01:09We did not receive the signal yet, so it's too early to give you an estimate, but certainly

01:15this is the good news, right?

01:17I mean, China is a big market, and my customers can still continue to supply the chips to the

01:26big market, and it's very positive news for them, and in return it's very positive news

01:34to TSMC.

01:36So despite some uncertainties in the global economy, strong demand for AI is propping up

01:41the company responsible for 90% of the world's most advanced chips, and they're expecting

01:46robust, if slightly slowed, growth.

01:49Scott Huang and Chris Gorin in Taipei for Taiwan Plus.

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