The world’s top semiconductor manufacturer will invest $100 billon in the U.S. chip sector, expanding U.S. efforts to move semiconductor manufacturing stateside, President Donald Trump announced on Monday.
Taiwan Semiconductor Manufacturing Co. (TSMC) will devote the $100 billion toward creating chip factories in Arizona, in addition to $65 billion the company already pledged to invest in April. TSMC was awarded a $6.6 billion grant under the CHIPS and Science Act to build factories in Arizona during the Biden administration.
“They will be investing at least $100 billion in new capital in the United States over the next short period of time to build state-of-the-art semiconductor manufacturing facilities,” Trump said after he met with TSMC’s CEO C.C. Wei on Monday. “The most powerful AI chips in the world will be made right here in America and it’ll be a big percentage of the chips made by [TSMC].”
“This $100 billion in new investment will go into building five cutting edge fabrication facilities in the great state of Arizona and will create thousands of jobs, many thousands of jobs, and high-paying jobs,” Trump added. “In total, today’s announcement brings Taiwan’s semiconductor investments to about $165 billion.”
The world’s largest chipmaker, TSMC produces chips to be used for various technologies, including cellphones, artificial intelligence, cars, and more.
“Without the chips and semiconductors, nothing runs today. You can’t buy a car without them, you can’t get a radio, television, you can’t get anything. We thought it was very important obviously business-wise, but we thought even in terms of national security, to have this large percentage of the chips, semiconductors, and other things that they make,” Trump said.
White House Commerce Secretary Howard Lutnick praised Trump for boosting domestic manufacturing capabilities.
“President Trump has made it a fundamental objective to bring semiconductor chip manufacturing home to America,” Lutnick said. “You’re seeing the power of Donald Trump’s presidency because TSMC, the greatest manufacturer of chips in the world, is coming to America with a $100 billion investment.”
TSMC said before the meeting on Monday that it looked “forward to discussing our shared vision for innovation and growth in the semiconductor industry, as well as exploring ways to bolster the technology sector along with our customers.” The company isn’t the first tech giant to make investment pledges during Trump’s first couple of months in office — Apple CEO Tim Cook, for example, has promised to invest $500 billion over the next four years in boosting U.S. engineering and manufacturing capabilities.
“We are bullish on the future of American innovation, and we’re proud to build on our long-standing U.S. investments with this $500 billion commitment to our country’s future,” Cook said. “From doubling our Advanced Manufacturing Fund, to building advanced technology in Texas, we’re thrilled to expand our support for American manufacturing. And we’ll keep working with people and companies across this country to help write an extraordinary new chapter in the history of American innovation.”