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SEMI Applauds U.S. CHIPS Act Award for TSMC Manufacturing Facilities to Strengthen Domestic Semiconductor Supply Chain
April 9, 2024 | SEMIEstimated reading time: 1 minute
SEMI, the industry association serving the global electronics design and manufacturing supply chain, applauded the United States Department of Commerce’s announcement of a Preliminary Memorandum of Terms for an award under the CHIPS and Science Act to support the construction of Taiwan Semiconductor Manufacturing Company (TSMC) chip manufacturing facilities in Arizona. The award includes $6.6 billion grants, as much as $5 billion in loans and an investment tax credit.
“We applaud the U.S. Department of Commerce for taking this significant step to enhance the resilience of the domestic semiconductor supply chain,” said Joe Stockunas, President of SEMI Americas. “This CHIPS and Science Act award is a key stride towards a 2-nanometer process, positioning the United States to produce the most advanced semiconductor chips at scale in order to advance global supply chain stability and help meet worldwide chip demand across various markets.”
“This grant increases TSMC's total investment in Arizona to $65 billion and is expected to create over 25,000 direct construction and manufacturing jobs, further demonstrating the positive economic impact and job creation potential of such advancements in semiconductor manufacturing,” Stockunas said. “Government investments like the CHIPS and Science Act grant for TSMC play a crucial role in semiconductor manufacturing and are of immense importance to economies globally.”
The recently announced SEMI 300mm Fab Outlook to 2027 report projects the Americas region will double 300mm fab equipment investments from US$12 billion in 2024 to US$24.7 billion in 2027, significantly narrowing the gap with the top three spending regions, which are projected to invest between US$26.3 billion and US$30 billion in chipmaking equipment in 2027.
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