Semiconductor maker announces plan to build third factory in Phoenix following award, bringing total investment to $65 billion
PHOENIX—Today, the Department of Commerce announced that TSMC Arizona Corporation, a subsidiary of Taiwan Semiconductor Manufacturing Company Limited, will receive $6.6 billion in direct funding from the CHIPS and Science Act, and approximately $5 billion in loans. This funding will support TSMC’s investment of more than $65 billion in three greenfield leading-edge fabs in Phoenix, Arizona, which will manufacture the world’s most advanced semiconductors.
The award is from the CHIPS and Science Act, championed through the U.S. House of Representatives by Congressman Greg Stanton, to bring microchip manufacturing back to America, create jobs, and strengthen national security. It follows the announcement last month that Intel Corporation would receive $8.5 billion in direct funding.
“Thanks to years of hard work and strategic investments, we’ve created a thriving semiconductor ecosystem here in Arizona that’s attracted the world’s leading chip makers—including TSMC just a few years ago. Now TSMC is choosing to double down and scale their operations here, fueled by investments made under our CHIPS Act,” Stanton said. “Not only will this award create thousands of good-paying jobs, it will continue to position Arizona as a global leader for advanced manufacturing.”
After initially announcing two fabs in the U.S., TSMC Arizona is committing to build an additional third fab before the end of the decade. With this funding, TSMC Arizona would be ensuring the formation of a scaled leading-edge cluster in Arizona, creating approximately 6,000 direct manufacturing jobs, more than 20,000 accumulated unique construction jobs, and tens of thousands of indirect jobs at TSMC’s suppliers in this decade and bringing the most advanced process technology to the United States.