President Joseph R. Biden visited the site of Taiwan Semiconductor Manufacturing Co.’s new Arizona plant earlier this week, where TSMC plans to build a second factory and increase its investment to $40 billion.
“As the semiconductor manufacturing has truly become vital to the modern economy, there has been a growing consensus to revitalize semiconductor manufacturing in the United States,” said TSMC Chairman Mark Liu during on Tuesday after the President toured the site. “TSMC is also taking a giant step forward to help build a vibrant semiconductor ecosystem in the United States.”
Following Liu’s remarks, President Biden took to the podium to praise TSMC’s help in building this “vibrant semiconductor ecosystem” in the U.S., before adding: “That’s what we’re doing with your help.”
TSMC announced that it would be stepping up its plans to , raising its investment to $40 billion from $12 billion. Once its two plants in Arizona open, TSMC should be able to produce enough advanced chips to meet the U.S. annual demand (600,000 wafers per year).
“It’s the foundation of our personal electronics, and also the future of quantum computing and AI,” Ronnie Chatterji, National Economic Council acting deputy director for industrial policy who oversees CHIPS implementation, told . “At scale, these two [factories] could meet the entire U.S. demand for U.S. chips when they’re completed. That’s the definition of supply chain resilience. We won’t have to rely on anyone else to make the chips we need.”
This follows the CHIPS and Science Act getting signed into law earlier this year. The new law allocates billions of dollars to entice manufacturers to manufacture semiconductor chips in the U.S.
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