TSMC: new $100 billion investment in the US for chip production
The Taiwanese giant is strengthening its presence in the United States with four new plants in Arizona
TSMC is set to invest a further $100 billion to expand its semiconductor production capacity in Arizona. This was announced by the group’s chief executive, C.C. Wei, during the conference call on the company’s quarterly results. The new investment will be used to build four additional chip manufacturing plants, bringing TSMC’s total presence in the US to 10 semiconductor factories and two packaging plants. “This involves building several factories dedicated to wafer production using technologies for logic chips at 2 nanometres and below, as well as facilities for advanced packaging,” said the CEO.
Under the Chips Act introduced by the administration of then-President Joe Biden, TSMC had agreed to invest $65 billion in the Phoenix area of Arizona, receiving a US government grant of $6.6 billion. Under the Trump administration, Commerce Secretary Howard Lutnick pressed the Taiwanese giant to further increase its commitment, securing an initial increase to $165 billion by March 2025. Subsequently, at the end of last year, the United States used the threat of new tariffs to secure even more substantial investment commitments. The broader agreement reached in January provided for a reduction in tariffs on imports from Taiwan to 15 per cent, in exchange for direct investment of 250 billion dollars in projects on US soil.
