TSMC Will Build $12 Billion Semiconductor Factory in US

Following reports the Trump administration was in talks with chip makers to build US factories, TSMC has announced plans to do just that.

TSMC is the primary provider of chips for Apple’s iPhones and iPads, as well as a variety of other smartphone makers. The news is a big win for the Trump administration, as well as the tech industry in general.

As the coronavirus pandemic has disrupted manufacturing and supply chains, the tech industry has been grappling with the fallout of not being able to keep up with demand. The situation has shone a light on the downsides of relying solely on overseas factories for mission-critical components.

The Trump administration opened discussions with both Intel and TSMC, in an effort to persuade both companies to open factories in the US. Sources said the administration was also talking with Samsung to see what could be done to help the company expand its existing semiconductor facilities in the US.

TSMC plans on beginning construction in 2021 in Arizona, with production scheduled to begin in 2024.