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Taiwan Semiconductor Manufacturing Company (TSMC) is planning to build a $12 billion chip factory in Arizona, US. The company will create up to 1,600 jobs and is aiming to manufacture products for US companies reducing the supply chain dependency on China.

TSMC to build a 5nm chip factory in the United States

TSMC stated in a press release that “this project is of critical, strategic importance to a vibrant and competitive U.S. semiconductor ecosystem that enables leading U.S. companies to fabricate their cutting-edge semiconductor products within the United States”.

The factory will be built in the span of nine years and will be a place where chips will be manufactured on the 5nm process. They can be used in consumer electronics like smartphones, but also in high-end defense systems.

US Secretary of State Mike Pompeo confirmed that TSMC chips will power everything – from 5G base stations to F-35 fighter jets. TSMC is also a major partner of Apple – the company manufacturers the Bionic platforms that power all latest iDevices.

TSMC to build a 5nm chip factory in the United States

Detailed plans by TSMC were revealed to The Wall Street Journal – construction in Arizona will start in 2021, with production targeted to begin in 2024. It would be able to manufacture up to 20,000 wafers per month and the $12 billion investment will continue up to the end of 2029.


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