TSMC expects permanent US approval to supply chip tools to its China factory

Taiwan’s TSMC said on Friday it expects to receive permission from the United States to supply its China plant with US chipmaking tools indefinitely, in an easing of Washington’s restrictions on foreign chipmakers operating in China.

The US Department of Commerce’s Bureau of Industry and Security (BIS) has advised TSMC to apply for the “validated end-user” (VEU) programme, which would allow the chipmaker to receive exports without separate approvals, the company said in a statement to Reuters.