TSMC has announced a significant investment of $100 billion aimed at enhancing chip production in the United States. This move aligns with President Trump’s vision of increasing domestic manufacturing capabilities.
The company has now revealed plans to produce advanced chips within the US, further solidifying its commitment to the domestic market. Initially, TSMC was hesitant about establishing wafer production facilities in the US due to higher manufacturing costs.
However, a recent report indicated that production costs for chips in the US are only marginally higher compared to Taiwan. Following this, TSMC confirmed its intention to produce advanced chips at its third fab facility in the US.
Peter Cleveland, TSMC’s VP for global policy, stated that construction could begin imminently, with the aim of supporting US leadership in artificial intelligence. As context, TSMC had previously announced a $65 billion investment in Arizona to construct three fabrication facilities.
The first facility is expected to produce 4nm chips, while the second will focus on more advanced 2nm and 3nm chips, with production anticipated to begin in 2028. The third facility is projected to start using 2nm technology, along with even more advanced processes, by 2030.
These facilities will be crucial for producing chips for upcoming Apple devices. Additionally, TSMC is working closely with the US government, discussing structural issues with the Department of Commerce.
Cleveland expressed optimism regarding the collaboration with the Trump administration, noting that the US market accounts for 75% of TSMC’s business. The company is actively engaging with government officials to ensure that its advanced chips are sold and distributed effectively.