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TSMC adds $100 billion to expand Arizona fabs for advanced AI chips

The added funding lifts TSMC’s planned US investment to $265 billion, including new 2-nanometre and advanced packaging capacity, and is tied to multi-year demand from leading US customers.

Reported · Written up by our desk · Trade & Tariffs

Taiwan Semiconductor Manufacturing Co has pledged an additional US$100 billion to expand its manufacturing facilities in Arizona, bringing its total planned US investment to US$265 billion as demand for AI-driven chips keeps rising, according to SCMP Economy.

TSMC chairman CC Wei said the company plans to move forward “as fast as possible” with the new Arizona investment, but offered no timeline, noting progress would depend on market conditions and customer demand.

The company said the added spending will support 2-nanometre and below process technologies, along with advanced packaging fabs, to meet strong multi-year demand from its leading US customers.

The US$100 billion pledge is on top of the US$165 billion TSMC committed for the Arizona complex in March 2025, which followed earlier increases from US$65 billion, covering additional fabrication plants, advanced packaging facilities, and a research and development center in Phoenix.

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