Taiwan Semiconductor Manufacturing Company (TSMC), the world's largest advanced chip manufacturer, has started building its third chip factory in the U.S. state of Arizona amid threats from President Donald Trump's administration to impose additional tariffs aimed at boosting domestic manufacturing.
The Taiwanese company announced the third phase of its expansion in the U.S. on the same day that Commerce Secretary Howard Lutnick visited the company’s site in Arizona. TSMC described this investment as the largest of its kind in U.S. history.
TSMC is the main supplier for companies like “Apple” and “NVIDIA”, and it forms a cornerstone of the U.S. government’s efforts to reshore the semiconductor industry within the country.
Last March, TSMC CEO C.C. Wei joined President Trump at the White House to announce an additional investment plan of $100 billion in the company's factories within the United States, which will significantly boost its production on American soil.
This massive investment adds to $65 billion worth of investments that TSMC had previously planned in the U.S.
TSMC Stock Movements
Shares of Taiwan Semiconductor Manufacturing Company (NYSE: TSM) closed yesterday, Tuesday, at a price of 164 USD, up by 0.66%.
The announcement of TSMC starting the construction of its third factory in Arizona could have a positive impact on investor sentiment in the long term, reflecting the company’s commitment to expanding its operations in the U.S., which aligns with the U.S. government’s efforts to enhance the domestic semiconductor industry.
