TSMC is seeking chipmaking equipment that doesn't contain Chinese rare-earth magnets

TSMC, the world's largest contract chip manufacturer, is seeking alternative machinery without rare-earth components to reduce its dependence on China-dominated materials and avoid disruptions to factory operations caused by the country's export controls. According to a Reuters report on October 22 citing people familiar with the matter, the Taiwanese company has begun approaching its equipment suppliers to explore whether they can provide factory automation equipment equipped with motors that don't require rare-earth materials.

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TSMC supplies the extremely powerful Nvidia chips that are facilitating the AI boom. It also manufactures chips for Apple, Broadcom, Qualcomm, and numerous other tech and automotive companies. The company operates enormous, highly automated semiconductor fabrication plants. …