TSMC Announces Record Q2-2025 Revenue Amidst Currency and Tariff Slump

[btarunr]

Taiwan's premier semiconductor foundry, TSMC, reported a consolidated revenue of NTD $263.709 billion (approximately US$8.11 billion) for June 2025, reflecting a 17.7% decline from May due to the sharp appreciation of the New Taiwan dollar. Despite this, the figure marked a 26.9% YoY increase, setting a new June record. For the second quarter of 2025, TSMC achieved revenue of NTD $933.792 billion, up 11.26% QoQ and 38.65% YoY, hitting the upper end of its April 2025 guidance and establishing a quarterly record. 1H-2025 revenue reached NTD $1.77 trillion, a 40% surge from the previous year, which is also a historical peak. In its April earnings call, TSMC forecasted second-quarter revenue between USD $28.4 billion and USD $29.2 billion (NTD $923 billion to NTD $949 billion), alongside a gross margin of 57-59% and an operating margin of 47-49%.

The rapid strengthening of the Taiwan Dollar, which appreciated over 15% from NTD $33.196 to briefly below NTD $29 per USD since April 2025, significantly impacted TSMC's margins and Taiwan's export-driven industry, mainly electronics and manufacturing. TSMC Chairman C.C. Wei noted at the June shareholder meeting that a 1% NT dollar appreciation reduces operating and gross margins by about 0.4%, with the recent 8% rise cutting margins by over 3%. Despite this, TSMC's Q2 revenue of NTD $933.79 billion was driven by robust AI GPU demand and increased orders for large die-size chips (more wafers since fewer chips per wafer), mitigating currency pressures. While tariffs indirectly affect TSMC as importers bear the cost, Wei cautioned that rising tariffs could spur inflation and reduce consumption, potentially impacting shipments. Despite all these, TSMC remains optimistic, fueled by strong AI GPU demand. The company projects record-high revenue and profit for 2025.



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[colossusrageblack]

Why would US tariffs affect them? They don't pay the tariffs, the companies who need them do and there's no other options.

 

[Daven]

Even though some will say it's off topic or not relevant, it is important to note TSMC revenue with respect to Intel. While most here still see Intel as a source for CPUs in their RGB gaming rig, the real money for those who own fabs is the fab for hire model. At $8B USD per month, TSMC annual revenue is around $100B USD while all of Intel's businesses are half that.

I'm beginning to think that Intel's cutting edge fab processes (20A, 18A, 14A, etc) are in dire trouble because I feel like they understand that making chips for others is way, way, way more lucrative than making their own chips. However, if they don't have the same advanced processes as TSMC, then Intel as a fab for hire model only would not be able to compete.

Until we get some clarity on the state of Intel and Samsung fabs, TSMC will continue to be the world's one and only fab for advanced nodes. Not a good position for the chip industry to be in. One source is not good for any market.

 

[RandallFlagg]

Why would US tariffs affect them? They don't pay the tariffs, the companies who need them do and there's no other options.

A better question is, why would tariffs affect them given that electronics including computers, cell phones, and GPUs are (currently) exempt from tariffs.

Not that electronics purchases is a major cost for most households.

 

[Daven]

A better question is, why would tariffs affect them given that electronics including computers, cell phones, and GPUs are (currently) exempt from tariffs.

Not that electronics purchases is a major cost for most households.

At this point nothing is exempt even if you read somewhere that it is. This is a political situation. Not an economic one. And political situations are completely unpredictable with our current leaders.

 

[evernessince]

A better question is, why would tariffs affect them given that electronics including computers, cell phones, and GPUs are (currently) exempt from tariffs.

Not that electronics purchases is a major cost for most households.

Exempt from the one tariff but they are still paying 10-30% from the others. GN has a video with case makers on the topic. Plus Trump just announced additional tariffs the other day. I cannot blame any company for pulling out of the US market, it's a complete shitshow being run by a man who changes policy daily.

 

[TheLostSwede]

Why would US tariffs affect them? They don't pay the tariffs, the companies who need them do and there's no other options.

So the tariffs don't affect TSMC when they're building new fabs in the US, when construction materials have gone through the roof?
Tariffs don't affect TSMC when they need to order chemicals that can only be imported?
Tariffs don't effect TSMC when they need to order equipment from countries that get tariffed?
Tariffs don't affect TSMC when they need to order spare parts from countries that get tariffed?

I think you need to think a bit broader than just the output from the fabs.

 

[RandallFlagg]

Exempt from the one tariff but they are still paying 10-30% from the others. GN has a video with case makers on the topic. Plus Trump just announced additional tariffs the other day. I cannot blame any company for pulling out of the US market, it's a complete shitshow being run by a man who changes policy daily.

Sorry, but most of the tech tubers and the people in these forums have like grade school understanding of tariffs.

For one, anyone who thinks a tariff applies to a retail price is not worth listening to - at all.

It applies to the import cost, and typically is based on the insurance against said import. This is actually less than 'wholesale' in most cases, since wholesalers import their product.

And yes, things like power supplies and cases get tariffed. So go ahead and worry about that $25 import cost case (that you're paying $100 for) getting slapped with a 35% tariff ($8.75) while you're paying $600 for a midrange GPU (without tariff).

 

[Daven]

Sorry, but most of the tech tubers and the people in these forums have like grade school understanding of tariffs.

For one, anyone who thinks a tariff applies to a retail price is not worth listening to - at all.

It applies to the import cost, and typically is based on the insurance against said import. This is actually less than 'wholesale' in most cases, since wholesalers import their product.

And yes, things like power supplies and cases get tariffed. So go ahead and worry about that $25 import cost case (that you're paying $100 for) getting slapped with a 35% tariff ($8.75) while you're paying $600 for a midrange GPU (without tariff).

I buy laser optics from China. The US government slaps an import tariff on it (which sometimes we have to dispute since tariffs change daily as I and others have pointed out). My management takes that tariff price and increases the retail cost of our lasers by the same amount. How again does this not apply to retail prices?

 

[evernessince]

Sorry, but most of the tech tubers and the people in these forums have like grade school understanding of tariffs.

For one, anyone who thinks a tariff applies to a retail price is not worth listening to - at all.

It applies to the import cost, and typically is based on the insurance against said import. This is actually less than 'wholesale' in most cases, since wholesalers import their product.

Just to be specific, it'd applied to declared value and paid for by the importer.

Tariffs do result in increased pricing. Either the importer eats the cost, the manufacturer reduces prices, or the retail price increases.

And yes, things like power supplies and cases get tariffed. So go ahead and worry about that $25 import cost case (that you're paying $100 for) getting slapped with a 35% tariff ($8.75) while you're paying $600 for a midrange GPU (without tariff).

GPUs are tariff'd at 10% under the general tariff that applies across the board.

Mind you, whether a product is directly tariff'd or not doesn't mean the price won't increase as a result of the knock-on effect. The way these tariffs have been implemented, business are incurring additional logistical costs (GN has a video on this) in addition to costs associated with moving factories out of China.

Remember, GPU prices were already increased during the pandemic under the excuse that factories needed to be moved and supply chains repaired. In the business world, instability often leads to losses. Everytime Trump changes his mind, a whole bunch of companies may end up eating huge tariffs as their products come into port (boats take 1-2 months) or being forced to air lift products in (like both corsair and apple had to do at the cost of 13-17 per unit).

The switch 2 launch is one example of the knock-on effect. The price of the console didn't increase after tariffs but they did increase the price of accessories to compensate. One way or another, the company will balance it's sheets.

 

[RandallFlagg]

Just to be specific, it'd applied to declared value and paid for by the importer.

Tariffs do result in increased pricing. Either the importer eats the cost, the manufacturer reduces prices, or the retail price increases.

You could have just googled and saw that was wrong.

Trump excludes some electronics from reciprocal tariffs

Smartphones and electronic integrated circuits, among other products, now qualify for the “semiconductor” exemption — though officials say sector-specific duties are still coming.

www.supplychaindive.com

And:

President Trump Expands Tariff Exemptions List

On April 12, 2025, President Trump issued an Executive Order (“EO”) Clarification of Exceptions Under Executive Order 14257 of April 2, 2025, as

www.internationaltradeinsights.com

 

[Daven]

You could have just googled and saw that was wrong.

Trump excludes some electronics from reciprocal tariffs

Smartphones and electronic integrated circuits, among other products, now qualify for the “semiconductor” exemption — though officials say sector-specific duties are still coming.

www.supplychaindive.com

View attachment 407376


And:

President Trump Expands Tariff Exemptions List

On April 12, 2025, President Trump issued an Executive Order (“EO”) Clarification of Exceptions Under Executive Order 14257 of April 2, 2025, as

www.internationaltradeinsights.com

All that will change tomorrow or is already wrong. Welcome to our new world economy.

 

[evernessince]

You could have just googled and saw that was wrong.

Trump excludes some electronics from reciprocal tariffs

Smartphones and electronic integrated circuits, among other products, now qualify for the “semiconductor” exemption — though officials say sector-specific duties are still coming.

www.supplychaindive.com

View attachment 407376


And:

President Trump Expands Tariff Exemptions List

On April 12, 2025, President Trump issued an Executive Order (“EO”) Clarification of Exceptions Under Executive Order 14257 of April 2, 2025, as

www.internationaltradeinsights.com

From the article you linked:

"
Also on Sunday, Trump clarified products that qualify for reciprocal tariff exemptions must still pay other national emergency-related tariffs, such as a 20% duty on goods from China.

“There was no Tariff “exception” announced on Friday,” Trump said on Truth Social. “These products are subject to the existing 20% Fentanyl Tariffs, and they are just moving to a different Tariff “bucket.”″
"
Out of the mouth of the man himself. As I pointed out earlier, there is more than just the reciprocal tariffs. I'm not even sure what Trump's Fentanyl tariffs apply to because they were implemented for a non-existent issue on things that had nothing to do with Fentanyl.

Plus, in addition to the above there's the tariffs from Trump's first term that Biden kept in place and IEEPA tariffs that Trump implemented in his 2nd term that don't have a semi-conductor exception. Any product from China or HK (and many parts are still made in China) will incur a 20% tariff. Mind you the knock-on effect of producing else-where also ensures that costs go up regardless as companies seek to avoid that 20%.

You seem to think a simple google search will give people the answer to these kind of questions when business leaders themselves are having issues knowing what they'll be charged when they bring products into port. Again, GN has a video on that as well. Due to the number of times things have changed, there are so many contradicting search results on google it's crazy.

 

[RandallFlagg]

From the article you linked:

"
Also on Sunday, Trump clarified products that qualify for reciprocal tariff exemptions must still pay other national emergency-related tariffs, such as a 20% duty on goods from China.

“There was no Tariff “exception” announced on Friday,” Trump said on Truth Social. “These products are subject to the existing 20% Fentanyl Tariffs, and they are just moving to a different Tariff “bucket.”″
"

Besides shifting the goalpost from your original assertion that they were subject to the 10% across the board tariff - you take the quote out of context.

Here's the part you left out:

Also on Sunday, Trump clarified products that qualify for reciprocal tariff exemptions must still pay other national emergency-related tariffs, such as a 20% duty on goods from China.

“There was no Tariff “exception” announced on Friday,” Trump said on Truth Social. “These products are subject to the existing 20% Fentanyl Tariffs, and they are just moving to a different Tariff “bucket.”″That tariff has been there for years. It's not new.

We've had 20% tariffs on China for a number of items for years now. There's nothing new about them. But China isn't the only country in the world - we don't have electronics tariffs on South Korea, Japan, Malaysia, Singapore, or Taiwan.

So I'm not even going to take the bait with all your other goalpost moving, provarication, and blathering on about things nobody said anything about.

This is what you said.

Prove it or take a hike.

GPUs are tariff'd at 10% under the general tariff that applies across the board.

 

[Daven]

Besides shifting the goalpost from your original assertion that they were subject to the 10% across the board tariff - you take the quote out of context.

Here's the part you left out:



We've had 20% tariffs on China for a number of items for years now. There's nothing new about them. But China isn't the only country in the world - we don't have electronics tariffs on South Korea, Japan, Malaysia, Singapore, or Taiwan.

So I'm not even going to take the bait with all your other goalpost moving, provarication, and blathering on about things nobody said anything about.

This is what you said.

Prove it or take a hike.

The whole point is that the goalposts keep moving but you seem more interested in taking anger out on everyone.

I get it. The situation is very frustrating. My company may go out of business because of the high and constantly changing tariffs. Its very frustrating and NO ONE knows whats going on not even the ones making the tariffs.

 

[evernessince]

Besides shifting the goalpost from your original assertion that they were subject to the 10% across the board tariff - you take the quote out of context.

Here's the part you left out:

Also on Sunday, Trump clarified products that qualify for reciprocal tariff exemptions must still pay other national emergency-related tariffs, such as a 20% duty on goods from China.

“There was no Tariff “exception” announced on Friday,” Trump said on Truth Social. “These products are subject to the existing 20% Fentanyl Tariffs, and they are just moving to a different Tariff “bucket.”″That tariff has been there for years. It's not new.

Um, you do realize that's a copy paste of exactly what I said right? Excluding of course your quip at the end: "That tariff has been there for years. It's not new. ". That is just repeated text of what you say later and likely mistakenly placed there (because otherwise it doesn't make sense to place your own quip right next to a quote like that unless it's a mistake or you are trying to mislead people implying it was said in the article when it was not in fact in the article.)

In regards to goalposts, this is the original comment you replied to:

Exempt from the one tariff but they are still paying 10-30% from the others. GN has a video with case makers on the topic. Plus Trump just announced additional tariffs the other day. I cannot blame any company for pulling out of the US market, it's a complete shitshow being run by a man who changes policy daily.

The goalposts didn't change, I specifically pointed out that there is more than one tariff from the start. The argument was never about a single tariff, not even in your original comment. Mind you, anyone complaining about "changing goalposts" when people bring up tariffs in a discussion about tariffs demonstrates they don't have a lot of faith in their argument will stand on logical reasons alone. The whole point of the argument is to determine the impact of tariffs, how can talking about other tariffs not add to that?

We've had 20% tariffs on China for a number of items for years now. There's nothing new about them. But China isn't the only country in the world - we don't have electronics tariffs on South Korea, Japan, Malaysia, Singapore, or Taiwan.

The IEEPA tariffs I was referring to were put into place in 2025 my friend and it's easy to prove from the primary source itself: https://www.whitehouse.gov/fact-she...iffs-on-imports-from-canada-mexico-and-china/

So I'm not even going to take the bait with all your other goalpost moving, provarication, and blathering on about things nobody said anything about.

I'm sorry you feel like you are the one being provoked while in the same sentence performing the very actions you are complaining about. I've kept my comments very civil and I'll simply say that this is nothing more than table pounding.

This is what you said.

Prove it or take a hike.

I did

 

[RandallFlagg]

Um, you do realize that's a copy paste of exactly what I said right? Excluding of course your quip at the end: "That tariff has been there for years. It's not new. ". That is just repeated text of what you say later and likely mistakenly placed there (because otherwise it doesn't make sense to place your own quip right next to a quote like that unless it's a mistake or you are trying to mislead people implying it was said in the article when it was not in fact in the article.)

In regards to goalposts, this is the original comment you replied to:



The goalposts didn't change, I specifically pointed out that there is more than one tariff from the start. The argument was never about a single tariff, not even in your original comment. Mind you, anyone complaining about "changing goalposts" when people bring up tariffs in a discussion about tariffs demonstrates they don't have a lot of faith in their argument will stand on logical reasons alone. The whole point of the argument is to determine the impact of tariffs, how can talking about other tariffs not add to that?

The goalposts changed from your original assertion that GPUs were subject to the 10% base reciprocal tariff. The one that I originally responded to, and then quoted to remind you.

They are not subject to that tariff. They are excluded (for now).

I'm sorry that you have lost so much objectivity that you are incapable of critical thinking or even seeing a fact presented right in front of you.

And yes, your response, just as the one your are puking up now - is goalpost shifting. What does Fentanyl have to do with this? Did I say anything about Fentanyl? Nothing and no. I said GPUs along with a lot of other electronics were excluded from tariffs.

Guess what? They are.

The IEEPA tariffs I was referring to were put into place in 2025 my friend and it's easy to prove from the primary source itself: https://www.whitehouse.gov/fact-she...iffs-on-imports-from-canada-mexico-and-china/

And electronics are excluded from them...

I'm sorry you feel like you are the one being provoked while in the same sentence performing the very actions you are complaining about. I've kept my comments very civil and I'll simply say that this is nothing more than table pounding.



I did

The only thing that has happened is that you've revealed yourself to be manipulative and deceptive.


Nothing of the sort has happened here.

So I'm not going to call this a correction, or you making an error. You've doubled down and falsehood.

What you stated is 100% false.

List of products exempt from Trump tariffs including smartphones, laptops

Donald Trump has exempted a number of key tech imports from tariffs, with the full list revealed amid rising U.S.-China trade tensions.

www.newsweek.com

Tariff exemptions for electronics offer a break for tech - but not for long

The White House announced a temporary exemption for smartphones, laptops, and other consumer electronics from the steep tariffs that would hike up prices for many products. Here's what it means for buyers.

www.zdnet.com

US to grant tariff exemptions for smartphones, computers – DW – 04/12/2025

The White House announced the removal of "reciprocal tariffs" from a range of electronic goods.

www.dw.com

https://www.troutman.com/insights/white-house-releases-list-of-products-excluded-from-reciprocal-tariffs.html

https://thehill.com/business/5246072-trump-tariffs-exemptions-phone-semiconductor-chips-computers/

 

[evernessince]

The goalposts changed from your original assertion that GPUs were subject to the 10% base reciprocal tariff. The one that I originally responded to, and then quoted to remind you.

This is the original comment that you replied to:

This is the following comment you are referring to:

Look at the time stamp at the top, you are objectively wrong. As I've pointed out, tariffs were the original discussion. Not one specific tariff. Even your own originating comment mentions tariffs, plural. And again, complaining that other tariffs are being brought up in a convo about tariffs is crazy.

I'm sorry that you have lost so much objectivity that you are incapable of critical thinking or even seeing a fact presented right in front of you.

And yes, your response, just as the one your are puking up now - is goalpost shifting.

More table pounding with a dash of ad hominem.

What does Fentanyl have to do with this? Did I say anything about Fentanyl? Nothing and no.

They are the name of one of the tariffs referenced in your article and one of the quotes from Trump. And yes I agree the name is confusing as they have nothing to do with Fentanyl. I used the fentanyl tariffs as an example of how confusing the current situation is (after your claim that a quick google search was all you needed) and you've done the favor of proving that with your clear confusion here. It's now been well established that the current tariff situation is anything but simple.

I said GPUs along with a lot of other electronics were excluded from tariffs. Guess what? They are.

They aren't from the IEEPA tariffs. You are throwing around blanket statements that have already been disproven.

The only thing that has happened is that you've revealed yourself to be manipulative and deceptive.

This would be in your own words "provarication, and blathering". I'm not going to stoop to your level, I'll let your own words do the talking.

Nothing of the sort has happened here.

So I'm not going to call this a correction, or you making an error. You've doubled down and falsehood.

Oh surely, you would never provoke or insult others.

Let's just ignore that you spent 90% of the very comment doing that.

View attachment 407423


What you stated is 100% false.

List of products exempt from Trump tariffs including smartphones, laptops

Donald Trump has exempted a number of key tech imports from tariffs, with the full list revealed amid rising U.S.-China trade tensions.

www.newsweek.com

Tariff exemptions for electronics offer a break for tech - but not for long

The White House announced a temporary exemption for smartphones, laptops, and other consumer electronics from the steep tariffs that would hike up prices for many products. Here's what it means for buyers.

www.zdnet.com

US to grant tariff exemptions for smartphones, computers – DW – 04/12/2025

The White House announced the removal of "reciprocal tariffs" from a range of electronic goods.

www.dw.com

https://www.troutman.com/insights/white-house-releases-list-of-products-excluded-from-reciprocal-tariffs.html

https://thehill.com/business/5246072-trump-tariffs-exemptions-phone-semiconductor-chips-computers/

You are right, the 10% tariff currently does not apply to GPUs. The 30% IEEPA tariff does though. At least in regards to GPUs coming from China and HK. Not sure about the fentanyl tariff or other prior tariffs, those may or may not apply.

You seem to misunderstand the difference between being wrong and lying. Lying is with intent, where in my case I associated the wrong percentage to the wrong tariff, which as we've demonstrated is understandable given how much of a cluster the whole thing is.

I can admit when I'm wrong.

What you don't seem to understand though, is that this is a difference that changes nothing about what's been argued. At the end of the day, tariffs are increasing GPU prices, whether that be via IEEPA or through knock-on effects. GPU vendors even used tariffs as an excuse to raise GPU prices during the pandemic. You hyperfixed on my single mistake while making dozens of your own, failing to realize that you'd already lost the big picture.

 

[RandallFlagg]

Oh surely, you would never provoke or insult others.

Let's just ignore that you spent 90% of the very comment doing that.

When someone lies repeatedly (you), I have no problem calling them (you) a liar and I never said I didn't.

This conversation is over. I have a fairly short ignore list and you just made it.

 

[evernessince]

When someone lies repeatedly (you), I have no problem calling them (you) a liar and I never said I didn't.

Stop projecting your own ill intent on others. Not everyone is like you.

This conversation is over. I have a fairly short ignore list and you just made it.

Of course it's over, you've got nothing that can counter any of the facts presented. All you can do is hyperfocus on small mistakes and misrepresent what was said that in the end make zero difference to the end result while ignoring your own dozen mistakes, just like everyone else on the internet on the loosing end of an argument.

Please do ignore me, all that'll change is you being unable to rebut any facts checks on your BS.

 

[R-T-B]

Why would US tariffs affect them? They don't pay the tariffs, the companies who need them do and there's no other options.

Tariffs have a global impact in the form of slowing trade, primarily with the affected nation but given the size of the US, its going to hit TSMC a bit too.

 

[Bomby569]

It doesn't even matter if the tariffs are directed at you. The uncertainty is slowing investments, and less investments, less chips sold.

Commander TACO's craziness impacts everyone.

 

[THU31]

Time to increase wafer prices again.