TSMC plans a second macro complex in Texas that could surpass Arizona’s $265 billion
TSMC continues to evaluate a new investment in the United States. The company’s intention is build a second semiconductor manufacturing complex in Texasas confirmed by sources in the sector to the agency Reuters. This initiative would be added to the projects that the Taiwanese company already has underway in the state of Arizona.
In any case, according to the sources consulted, the plans for these facilities are not yet final nor have they received formal approval from the board of directors. So there is still a long road ahead until any of this materializes.
This new strategy was initially advanced by the Taiwanese newspaper Economic Daily Newswhich placed the possible location of the project in the Dallas area by deploying up to six advanced lithography plants. Although the corporation has declined to make official statements on the matter, the investment in this area of the United States could exceed the budget that the company had planned for Arizona. This is due to the higher cost associated with the implementation of more cutting-edge lithographic nodes.
The context helps us understand TSMC’s intentions
TSMC is betting heavily on the United States and the new plans revealed are actually continuous. That is, they do nothing more than consolidate a strategy that we already knew clearly. Furthermore, all this comes after the capital increase reported by TSMC.
Without going any further, last July, the company added an additional $100 billion to its initial deployment. With all that money on the table, the company raised its financial commitment in Arizona to $265 billion. As detailed by its executive director, CC Wei, the firm plans to build at least four additional plants to cover advanced manufacturing and packaging stages.
The existing complex in Arizona will encompass a total of twelve production facilities along with a center dedicated to research and development. For his part, the firm’s financial director, Wendell Huang, has already reiterated the intention to maintain continued investment in the United States given the interest of clients such as Apple, NVIDIA or AMD in diversifying their supply.
The interest in expanding production capacity on US soil also responds to the demand of chip designers and the US regulatory context, marked time and again by the possible arrival of new tariffs. We must also not forget that Taiwan is in a difficult position, with constant threats of invasion by China, in addition to a notable lack of talent that TSMC itself has already spoken about.
However, the development of these campuses usually takes a long time. It also faces some challenges, such as lack of labor and energy supply. For this reason, semiconductor production in Texas will take several years before being translated into finished commercial wafers.
