The TSMC’s senior vice president was commenting after Donald Trump’s second election victory for the US presidency and concerns that he might slash support for Taiwan.

Hou underscored the importance of robust research and development to maintain Taiwan’s status as a "key member of the global semiconductor supply chain."

"We should accelerate research and development to ensure our standing as an indispensable member of the global semiconductor supply chain," Hou said in his capacity as chairman of the Taiwan Semiconductor Industry Association.

Hou added that TSMC is collaborating with the Taiwanese government to explore new partnerships with foreign firms in hopes of establishing design and materials hubs in Taiwan.

Taiwan, home to the world’s largest contract chipmaker, has long been a critical player in the global tech industry but faces ongoing tension from mainland China, which claims the self-governing island as part of its territory.

The change in US leadership following Trump’s election could impact Taiwan's international standing. Trump has historically demanded protection money from  Taiwan to “pay the US for defending it,” while President Joe Biden was more unequivocal support for Taiwan.

Hou, who earned his doctorate in the US and has been with TSMC for nearly three decades, also emphasized that Taiwan should deepen its expertise in equipment and materials—areas currently dominated by foreign corporations.

 Despite the political shift in Washington, Hou assured that Taiwan’s longstanding partnership with the US would endure, expressing optimism that the countries’ semiconductor cooperation would remain unaffected.

Trump does not like Taiwan's dominance in the semiconductor market, suggesting in a recent interview that Taiwan’s chip industry “stole 95 per cent off  US business.”

Speaking on Joe Rogan’s podcast in October, Trump attributed the shift to “stupid politicians” and claimed that he had safeguarded Taiwan from China during his first term.