TSMC Seeks Further Expansion in the US with a New Chip Packaging Facility

Taiwan Semiconductor Manufacturing Co. is considering establishing another advanced chip facility in the US, according to NIKKEI Asia.

• TSMC’s planned move reflects Washington’s growing interest in expanding chip manufacturing amid growing pressure to add production in the US.
• The US is concerned with geopolitical risks of Taiwan-made chips even as it warned that any production disruptions would cost electronic makers $500 billion in revenues.
• The new plant is expected to allow chip packaging and uses advanced technology to integrate various semiconductors into wafers.
• TSMC has discounted views that capacity expansion in the US is due to pressure from Washington, saying it is in response to customer needs.

TSMC’s first $12 billion facility in the US is already underway and is set to start production by 2024.  2330: TPE is up +0.50%