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Trump administration not eyeing equity in companies that are increasing US investment, WSJ reports
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Trump administration not eyeing equity in companies that are increasing US investment, WSJ reports
Aug 21, 2025 5:12 PM

Aug 21 (Reuters) - The Trump administration is

considering taking equity stakes in companies receiving funds

from the 2022 CHIPS Act but has no plans to seek shares in

bigger semiconductor firms that are increasing their U.S.

investments, the Wall Street Journal reported on Thursday,

citing a government official.

The development follows comments made by U.S. Commerce

Secretary Howard Lutnick, who on Tuesday said the government is

continuing to work on the possibility of taking a 10% stake in

troubled chipmaker Intel ( INTC ).

However, the administration does not intend to take equity

stakes in companies like TSMC, which are ramping up

investment, the official told the Journal. Businesses not

increasing their commitments may need to offer equity to the

government in exchange for subsidies.

"The Commerce Department is not looking to take equity from

TSMC and Micron," the official told WSJ.

TSMC executives have already had discussions about giving

back their subsidies if the administration asks to become a

shareholder, according to the report.

The White House and TSMC did not immediately respond to

Reuters' requests for comment.

TSMC, which counts Nvidia ( NVDA ) and Apple ( AAPL ) as key

clients, announced plans for a $100 billion investment in the

United States during an event with President Donald Trump at the

White House in March. This investment is in addition to $65

billion committed for three manufacturing facilities in the

state of Arizona.

The U.S. Commerce Department, which oversees the $52.7

billion CHIPS Act, formally known as the CHIPS and Science Act,

late last year finalized subsidies of $6.6 billion for TSMC to

produce semiconductors in the United States.

Besides Intel ( INTC ), Micron, TSMC and Samsung

were among the biggest recipients of CHIPS Act funding.

In the past, the U.S. government has taken stakes in

companies during periods of economic uncertainty to provide

financial support and restore confidence.

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