Chip Giant TSMC Pledges Another $100bn to Expand U.S. Production
Taiwanese chipmaker TSMC will invest an additional $100bn (£74bn) in Arizona, expanding its U.S. manufacturing footprint. The Treasury claims the move will create tens of thousands of high‑paying jobs, boosting the domestic semiconductor ecosystem.
The investment brings TSMC’s total U.S. commitment to $265bn. CEO CC Wei said the expansion could possibly involve four new fabrication plants in Arizona, although a timeline remains uncertain and will depend on market conditions.
This announcement follows a 77% jump in Q2 net profit, with earnings from April to June climbing to $22bn from $12.4bn a year earlier. TSMC’s chips have become central to AI data centres, smartphones and other high‑tech devices, driving demand across the industry.
With a market value now around $2 trillion, the company is Asia’s most valuable firm, and its share price has surged more than 55% this year.
The U.S. Commerce Department praised the investment, noting it aligns with Trump’s plan to bring advanced chip manufacturing back home. "TSMC’s announcement will help foster the development of the U.S. semiconductor ecosystem, strengthen the supply chain and support an increasing number of high‑tech, high‑paying jobs," Commerce Secretary Howard Lutnick said.
The move also reflects broader U.S. policy shifts, including a recent trade deal with Taiwan that cut tariffs on Taiwanese goods to 15% in exchange for significant semiconductor investment.
Additional reporting by Osmond Chia.
