$NVIDIA (NVDA.US)$ CEO Jensen Huang has shared his thoughts on his company's relationship with $Taiwan Semiconductor (TSM.US)$ and the remarks by President-elect Donald Trump.

What Happened: Earlier this month, during WIRED's "The Big Interview" series, Huang was asked about Trump's accusation about Taiwan taking some of the chip business from the U.S. and its implications for Nvidia's close partnership with TSMC.

In response, Huang highlighted the pivotal role of TSMC in the global tech supply chain, praising the company as an "extraordinary" innovator with strong leadership.

"If anything, TSMC as a company gets better and better every single year that we work with them so our relationship with TSMC is going to continue," he stated.

The Nvidia CEO also confirmed reaching out to Trump to congratulate him and expressed Nvidia's readiness to support the new administration.

He expressed confidence that the incoming administration would recognize the importance of AI and offered to provide any necessary support to help the administration succeed in this area.

Why It Matters: Trump's concerns about Taiwan's semiconductor industry have been a recurring theme. In October, while appearing on the Joe Rogan podcast, Trump accused Taiwan of undermining the U.S. chip industry and criticized the U.S. CHIPS Act.

He pledged to impose tariffs on Taiwanese chips, which could significantly impact TSMC, a major supplier for companies like Nvidia and Apple Inc.

Despite Trump's critical remarks, TSMC announced that its U.S. expansion plans remain unchanged. The company proceeded with a $65 billion investment in advanced semiconductor production facilities in Arizona.

TSMC also plans a significant global expansion, with a record $38 billion investment target. The company aims to increase its production capacity by constructing several new semiconductor fabrication plants worldwide by 2025.

Nvidia and TSMC have partnered since 1995, with TSMC historically serving as the primary manufacturer of Nvidia's high-performance GPUs.

In October, TSMC reported consolidated third-quarter revenue of NT$759.69 billion ($23.50 billion), reflecting a 39% year-over-year increase.

Price Action: TSMC's stock has increased by 103.22% year-to-date, while Nvidia's stock has risen by 191.09% during the same period, according to data from Benzinga Pro.

The latest analyst reports from Barclays and Needham set an average price target of $226.67 for TSMC, indicating a potential upside of 9.87%.

Meanwhile, reports from DA Davidson, Phillip Securities, and Truist Securities set an average price target of $154.67 for Nvidia, suggesting a potential upside of 10.65%.

Disclaimer: This content was partially produced with the help of Benzinga Neuro and was reviewed and published by Benzinga editors.