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Electronics Production |

TSMC pushes back opening of Arizona plant for a second time

Taiwanese chip maker TSMC says a shortage of specialist workers has forced it to delay the opening of its second factory in Arizona from 2025 to 2027 or 2028.

The disclosure was made by TSMC chairman Mark Liu during an earnings call on Thursday. It's another setback for TSMC, and also for the US government; the factory is a key component of its efforts to on-shore semiconductor manufacturing.

Liu said construction on the shell for TSMC's second Arizona factory had begun, but that it needed more help from the government to complete it. Previous reports have cited issues with staffing for the setbacks. 

TSMC announced its plans in 2022 for this second fab, which will bring its overall investment in the state to USD 40 billion. There is now speculation that the problems with construction might force TSMC to reconsider whether it can make 3-nanometer chips on the site. Instead, it might have to focus on less advanced products. The first Arizona facility is still on track for production of 4-nanometer technology, which will start in the first half of 2025.

The delays will be concerning for TSMC, which is busy trying to diversify its production away from its Taiwanese homeland. Last year, it announced a factory in Dresden, Germany, its first in Europe. Meanwhile its first facility in Kumamoto Japan will officially open next month, with mass production scheduled for Q4 2024. And TSMC is now considering whether to open a second facility in Japan to manufacture 12nm chips by the end of 2026.


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June 13 2024 1:49 pm V22.4.55-2