Taiwan Semiconductor Manufacturing Co (TSMC) has committed an additional US$100 billion to expand its manufacturing operations in Arizona, significantly scaling its U.S. footprint.
The pledge, announced Thursday, adds to the $165 billion already allocated for chip factories in the state, marking one of the largest single corporate infrastructure commitments in recent history.
The move aligns with broader efforts to diversify global semiconductor supply chains away from concentrated production hubs in Asia.
TSMC shares rose in early trading, with the broader semiconductor sector following suit as investors interpreted the commitment as a vote of confidence in sustained demand for advanced logic chips.
The announcement reinforces the strategic importance of the U.S. market for the world’s largest foundry, particularly as it serves key customers in the artificial intelligence and data-center sectors, including Nvidia.
Market participants are viewing the investment as a long-term structural tailwind for the semiconductor equipment and materials supply chain.