TSMC is running at 65 % capacity
Overall perhaps of ALL of their lines, but NOT on their 12/16nm node line(s).
NVidia specifically moved to make their GTX 1050 and 1050ti at Samsung because TSMC didn't have the CAPACITY available to make those with all of it's then-current contracts (including the NVidia one for the 1060 and up).
TSMC DOES have other lines still running on older nodes, like 28 and 40 nm (possibly 22nm but I'm not SURE there) that are kept busy enough to be profitable - AFAIK they still have at least one line running 55nm for older chips that don't NEED the current node but are still practical to use.
In example, you don't waste the money making a radio/clock/alarm chip on current process because it doesn't NEED the ultimate in efficiency - same for Car "radio" stuff, boomboxes, televisions, and such.