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Arizona Factory Not Built Yet, But TSMC Is Already Considering Expansion

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TSMC plans to build several more chip factories in the US state of Arizona in addition to the one currently planned. Three sources familiar with the matter told Reuters.

The world’s largest contract chip maker announced in May 2020 that it would build a $ 12 billion factory in Arizona. The plant, designed for plates with a diameter of 300 mm, should begin production in 2024.

Now TSMC manufactures most of its products in Taiwan, and obsolete facilities are located in China and the United States, in the state of Washington. According to informants, there are plans to build up to five additional factories in Arizona.

The planned capacity of the first factory is relatively modest by industry standards, with 20,000 wafers being processed monthly. But the technical process will be advanced – 5-nanometer. It is not yet known how many production capacities will be deployed at five additional factories and what technological standards they will be designed for. The volume of investments is also unknown.

One of the informants said that the expansion plans were in response to a request from the United States. According to the second, when receiving the site for the first factory, the company made sure that it had enough space to expand. TSMC plans to build a total of six factories in the next three years, according to a third representative of the supplier TSMC involved in the project in Arizona.

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