*

TSMC Q3 profit soars 39.1%

*

Posts sixth consecutive quarter of double-digit profit

growth

*

TSMC benefiting from trend towards AI

(Rewrites after release of earnings)

TAIPEI, Oct 16 (Reuters) - TSMC, the world's

main producer of advanced AI chips, posted a 39.1% jump in

third-quarter profit to record levels that handily beat market

forecasts on Thursday, though U.S. tariffs could weigh on its

outlook.

Benefiting from surging demand for advanced chips used in

artificial intelligence applications, Taiwan Semiconductor

Manufacturing Co ( TSM ) said net profit for July-September climbed to

T$452.3 billion ($14.76 billion), its sixth straight quarter of

double-digit growth.

That was well ahead of a T$417.7 billion LSEG SmartEstimate

drawn from 20 analysts. SmartEstimates are weighted toward

forecasts from analysts who are more consistently accurate.

Trump's trade policies and threats to put tariffs on

semiconductors have created much uncertainty for the global chip

industry and TSMC, whose customers include Apple ( AAPL ) and

Nvidia ( NVDA ).

TSMC announced plans for a $100 billion U.S. investment with

Trump at the White House in March, on top of $65 billion pledged

for three plants in the state of Arizona, one of which is up and

running.

Taiwan-listed shares in TSMC have risen 38% so far this

year, largely brushing off concerns about tariffs, and ahead of

the 20% rise for the broader market.

($1 = 30.6450 Taiwan dollars)

(Reporting by Wen-Yee Lee, Faith Hung and Ben Blanchard;

Editing by Christopher Cushing and Muralikumar Anantharaman)