Taiwan Semiconductor Manufacturing Co (TSMC) plans a fresh $100 billion investment in the United States, with the goal of building five new chip facilities across the country. The announcement was made during a meeting between TSMC’s CEO C.C. Wei and President Donald Trump.
The investment, which includes three new chip fabrication plants, two advanced packaging facilities, and a major research and development center, aims to boost domestic production and reduce reliance on semiconductors made in Asia. The project is expected to create 40,000 construction jobs over the next four years.
TSMC’s move follows news that the company plans to expand its planned US investment by $25 billion to $65 billion and add a third Arizona factory by 2030. However, the new investment will be eligible for a 25% manufacturing investment tax credit under the 2022 law.
The announcement is seen as a major development in the US chip industry, with TSMC being a key manufacturing partner to companies such as Nvidia, Qualcomm, and Advanced Micro Devices. The move also helps fulfill Trump’s campaign pledge to bolster domestic industries and create jobs.
Taiwan’s cabinet has announced that it will review the investment under its laws, which require government approval for any large overseas investment by a Taiwan company. However, the Taiwanese presidential office has stated that it views overseas investments positively and will consider the interests of investors and Taiwan.
The move comes as China ramps up pressure to assert its sovereignty claims over Taiwan, and TSMC’s dominance in chip production has sparked concerns about over-reliance on the island. The US government has been working to reduce its reliance on imported chips, with a goal of creating a more secure supply chain.
Source: https://www.reuters.com/technology/tsmc-ceo-meet-with-trump-tout-investment-plans-2025-03-03