Assuming when you say China you mean the UN recognized "China", then they do not have any control over TSMC.
This is a threat to Taiwan that China will just invade it and take whatever, including nationalizing TSMC.
It's an threat in some people's imagination.
UN views Taiwan as a province of PRC
But it is not, and if the PRC tried doing that there would be a major military conflict that would result in TSMC not existing for the PRC's taking.
It is part of PRC according to almost all countries. Sure a few disagrees.
There is a difference between what the PRC says and reality; they have absolutely no control of Taiwan and no country (including the PRC) actually believes that the Chinese Communist Party has any true influence/power over Taiwan. So either you are seriously uninformed on geopolitics or you like to spout BS CCP propaganda.
You mean after invading Taiwan? TSMC is in the Republic of China, not the People's Republic of China. They're not, for practical intents and purposes, the same country.
Search "1992 Consensus"
I specifically said 'for practical intents and purposes' to head off this sort of obnoxious "well ACKSHULLY..." response. The CCP does not rule in Taiwan. Until that changes, the CCP nationalizing TSMC isn't in the cards. And even if that happened, there probably wouldn't be anything left of TSMC to nationalize.