TSMC is now treating China’s rare-earth controls as a threat to the world’s most advanced chip factories. The company has surveyed suppliers on rare-earth-free motors for its factory-automation equipment, three people familiar with the matter told Reuters. The aim is to reduce the risk that Beijing’s export licences could disrupt production. China put certain rare-earth materials, magnets, and processing technology under controls last year. Those magnets power the motors that move parts inside highly automated fabs. A shortage would hit smartphone, AI, data-center, and defense supply chains. The discussions are still early. No large-scale switch yet. TSMC has not commented. The company that makes the chips everyone else depends on is already looking for an exit from Chinese rare earths.