Trump and TSMC announce $100 billion plan to build five new US factories

President Donald Trump and Taiwan Semiconductor Manufacturing Company (TSMC) CEO C.C. Wei announced a substantial $100 billion investment to construct five new semiconductor fabrication plants in the United States. This initiative aims to bolster domestic chip production and reduce reliance on foreign-made semiconductors.

The planned facilities will be located in Arizona, complementing TSMC’s existing investments in the state. Prior to this announcement, TSMC had committed $65 billion to expand its U.S. operations, including the construction of three factories by 2030.

This new investment brings TSMC’s total U.S. commitment to approximately $165 billion and is expected to create thousands of high-paying jobs. The facilities will focus on producing advanced semiconductors, including those essential for artificial intelligence applications.

The announcement aligns with the U.S. government’s efforts to enhance economic and national security by strengthening domestic semiconductor manufacturing capabilities. President Trump emphasized the importance of this investment, stating that semiconductors are the backbone of the 21st-century economy.

TSMC’s expansion in the U.S. is also seen as a strategic move amid global supply chain challenges and geopolitical tensions, particularly concerning China’s claims over Taiwan. By increasing domestic production, the U.S. aims to mitigate risks associated with semiconductor shortages and enhance its technological infrastructure.