This new fab capacity will only be a small fraction of TSMC total capacity, and nowhere near enough to serve the US domestic needs. So it won't really change th

This new fab capacity will only be a small fraction of TSMC total capacity, and nowhere near enough to serve the US domestic needs. So it won't really change the economic dependency on Taiwan fabs. It will provide some local US support for sensitive military chips however. And it lets TSMC gains goodwill from the US, which they can try to use to continue serving Chinese customers (Huawei is a big client). So overall, not necessarily a bad move for TSMC and Taiwan. Nice balancing of conflicting demands.