TSMC To Invest An Additional $100B In Phoenix Chipmaking Facilities
Taiwan Semiconductor Manufacturing Co. is investing an additional $100B in manufacturing in the U.S., bringing its total investment commitment to $265B.
The additional investment will mean four more advanced semiconductor manufacturing facilities, bringing the total to 12 leading-edge semiconductor and packaging facilities, according to a release from the Department of Commerce on Thursday.
"This is to support the strong multi-year demand from our leading U.S. customers, and we believe this investment will further foster the development of the U.S. semiconductor ecosystem, strengthen the supply chain, and support significant job creation in the United States," TSMC Chairman and CEO C.C. Wei said in a statement.
TSMC's new facilities will join existing factories in Phoenix, according to the city's mayor.
"TSMC will invest an additional $100 billion right here in Phoenix, bringing its total investment to $265 billion," Mayor Kate Gallego posted on social media. "It’s the largest deal in US history and cements our city as the heart of America’s technology manufacturing economy."
Demand for microchips in the U.S. has exploded as hyperscalers, defense contractors and advanced manufacturers race to build out domestic production capacity, creating a surge of activity that’s rippling through the entire industrial ecosystem.
TSMC's investment in Arizona is already altering the Phoenix area, spurring a flurry of interest from developers in land around the factory sites and creating thousands of jobs.
The company's American investment began in 2024 with a $65B commitment made under former President Joe Biden's CHIPS Act. The federal government also provided a $6.6B grant. In March 2025, under President Donald Trump, Commerce Secretary Howard Lutnick got TSMC to increase its initial investment to $165B, according to Bloomberg.
The majority of chip manufacturing takes place overseas. Tariff concerns and proximity to important customers have motivated TSMC's moves. The company supplies chips to Nvidia Corp., among others.
Demand for microchips in the U.S. has exploded as hyperscalers, defense contractors and advanced manufacturers race to build out domestic production capacity, creating a surge of activity that’s rippling through the economy and boosting demand for manufacturing space.
