Taiwan Semiconductor Manufacturing Co. (TSMC), the world's leading chipmaker, is eliminating Chinese-made equipment from its most advanced 2-nanometer (2nm) semiconductor production lines. This strategic move aims to avoid potential U.S. restrictions and export controls that could disrupt production and jeopardize access to U.S. subsidies. The decision includes dropping tools from Chinese companies such as AMEC, a major provider of etching equipment. TSMC's 2nm production lines, located in Hsinchu and Kaohsiung, are set to enter mass production this year and represent the most advanced technology in the semiconductor industry. The shift reflects growing geopolitical tensions and the impact of proposed U.S. legislation like the Chip EQUIP Act, which would reduce tax benefits and subsidies for companies using Chinese-made semiconductor tools. By removing Chinese equipment, TSMC aims to safeguard its manufacturing capabilities and maintain favorable relations with U.S. regulators amid accelerating American investment in semiconductor technology.