Apple’s plan to bring some production back to the US is advancing with completion of a chip facility in Arizona. Planning for the Taiwan Semiconductor Manufacturing Company (TSMC) plant started in 2020.
TSMC immediately began seeking subsidies for the $12 billion chip fabrication plant. Production isn’t expected to begin until 2024, at which time Apple A- and M-series chips begin rolling out. Some reports suggest more US chip fabs may be in the works for the future.
TSMC, Apple, and the CHIPS Act
The $52 billion CHIPS Act was developed by Congress to address the global chip shortage caused by the pandemic. The act also had the goal of bringing manufacturing of high-end semiconductors back to the US from China. Apple actively lobbied for the Act to pass, which it did earlier in August.
Arizona Governor Doug Ducey supplied the update today. TSMC stressed that Ducey had not visited the company during his trip to Taiwan. That was done to keep from angering Chinese officials,
The South China Morning Post reported on Ducey’s comments:
Taiwanese chip maker TSMC is making “excellent progress” building its new plant in Arizona, the governor of the US state said on Wednesday […]
Speaking at an investment conference during a visit to Taipei, Arizona governor Doug Ducey recalled meeting the TSMC leadership in 2017 and then in 2020 announcing the investment.
“Just over two years later TSMC has completed construction for its main facility and continues to make excellent progress,” he said, describing visiting the construction site as “even more impressive in person.
“Along with TSMC’s historic investment, roughly two dozen Taiwanese-based suppliers are finding Arizona is right for investment,” Ducey added.South China Morning Post, August 31, 2022
Earlier this year, Nancy Pelosi’s visit to TSMC provoked a strong reaction from China. The reaction involved live-fire military exercises simulating an invasion of Taiwan. Governor Ducey also made comments about the state’s role in training Taiwan’s F-16 fighter pilots. That could not have pleased Chinese officials…