TSMC: obtains billions of dollars in subsidies in the United States

(Boursier.com) — Taiwan Semiconductor Manufacturing (TSMC) obtains enormous financial support from the United States. The US Department of Commerce announced that it would grant the local division of the Taiwanese group a $6.6 billion subsidy for the production of advanced semiconductors in Phoenix, Arizona, as well as a low-cost loan. cost of up to $5 billion.

TSMC has agreed to increase its investment in the United States, initially planned at $25 billion, to $65 billion, and to set up a third factory in Arizona by 2030, the Commerce Department said. The Taiwanese company will produce the world’s most advanced 2-nanometer chip at its second factory in Arizona, with production expected to begin in 2028.

US Commerce Secretary Gina Raimondo said 2nm chips are essential for emerging technologies, including artificial intelligence, as well as for the military. “For the first time ever, we will manufacture the most advanced semiconductor chips on the planet at scale, here in the United States of America, in fact, with American workers,” the executive told reporters. . The award of this aid to TSMC marks a new step in President Biden’s efforts to boost the US semiconductor industry through the 2022 Chips and Science Act. science). It’s one of the largest announced under the program, which provides $39 billion in direct grants – plus $75 billion in loans and guarantees – to persuade semiconductor companies to build factories. in the United States after decades of outsourcing production overseas.

The Asian giant plans to begin high-volume production at its first U.S. factory by the first half of 2025. TSMC Arizona is also committed to supporting the development of advanced packaging lines through partnerships in the United States , in order to allow customers to purchase chips entirely manufactured on American soil.

Through its Arizona factories, TSMC will work with key customers like Apple, Nvidia, Advanced Micro Devices and Qualcomm “meeting their demand for peak capacity, reducing supply chain issues and enabling them to be competitive in the ongoing era of digital transformation,” the Commerce Department emphasized.