TSMC to invest $100 billion in US semiconductor manufacturing
The largest FDI in US history
TSMC has revealed plans to invest $100 billion in advanced semiconductor manufacturing in the United States. This investment will build upon the company’s current $65 billion initiative in Phoenix, Arizona, bringing the total investment in the Taiwanese company’s US operations to $165 billion.
As part of this expansion, TSMC will establish three new fabrication plants, two advanced packaging facilities, and a significant R&D centre, making this project the largest foreign direct investment in US history.
This substantial investment will elevate TSMC’s role in the global semiconductor landscape and create immense value for AI and other next-generation technologies. The expanded operations are projected to generate hundreds of billions of dollars in semiconductor value, significantly enhancing the technological landscape in both the US and globally.
Regarding job creation, TSMC expects to provide 40,000 construction positions over the next four years and create tens of thousands of high-paying, skilled roles in chip manufacturing, research, and development.
Over the coming decade, the expansion will drive over $200 billion in indirect economic impact across Arizona and the US. This significant move highlights TSMC’s commitment to supporting its US-based customers, which include some of the world’s foremost AI and technology companies, such as Apple, NVIDIA, AMD, Broadcom, and Qualcomm.
Dr C.C. Wei, TSMC Chairman and CEO, said: “Back in 2020, thanks to President Trump’s vision and support, we started our journey to establish advanced chip manufacturing in the US. That vision has now become a reality.
“AI is transforming our lives, and semiconductor technology is the driving force behind the innovation in these new applications. With the successful launch of our first fab in Arizona, the government’s essential support, and our strong partnerships with customers, we’re now ready to invest $100 billion further, bringing our total investment to $165 billion.”
Currently, TSMC’s Arizona facility, located on a 1,100-acre site, employs over 3,000 people and began mass production in late 2024. The expansion of this site, alongside the company’s first US advanced packaging investments, is expected to strengthen the US semiconductor ecosystem, particularly by increasing domestic production of high-end semiconductor technology. This will help complete the AI supply chain, vital for national and global technological advancements.
In addition to the Phoenix facility, TSMC operates a fab in Camas, Washington, and design service centres in Austin, Texas, and San Jose, California. These facilities are integral to TSMC’s operations, supporting domestic and international clients across various high-tech sectors.
TSMC’s ongoing investment into US semiconductor manufacturing aligns with broader efforts to ensure that America remains at the forefront of technological innovation, especially in AI and other emerging industries. With this expansion, TSMC is not only supporting job creation and economic growth in the US but is also reinforcing its position as a leader in the global semiconductor market.
Hero image: TSMC is committed to supporting its US-based customers, which include some of the world’s foremost AI and technology companies. Credit: TSMC
