TSMC will spend $100 billion over the next four years

Taiwan Semiconductor Manufacturing Co., the world's largest chip manufacturer, is planning to spend $100 billion over the next four years to expand its production capacity and expand its most sophisticated semiconductor processes for its operations in Arizona.

TSMC CEO CC Wei is expected to announce investment and production plans on Monday during his appearance with President Trump at the White House.

This investment comes after years of work to improve domestic manufacturing of semiconductors. The push for the industry to reconstruct what began during the previous Trump administration continued to pass chips by the Biden administration. This is a bipartisan bill aimed at not relying on the US on Asia for the tiny electronics that drive everything from cars to iPads.

This investment was previously reported by the Wall Street Journal.

Over the past decade, TSMC has cornered the chip manufacturing market. It raised concerns in Washington that the US could lose access to advanced chips as Beijing wants to reclaim the island as part of China.

Under the Chips Act, TSMC has pledged to invest $65 billion to build three factories in Arizona. The production process it promises to bring to the US is a legacy technology that creates chips that are more refined than those produced in Taiwan. We received $6.6 billion in federal funds to support the project.

Since taking office in January, Trump has pressured TSMC to bring more sophisticated production processes to the United States. He threatened 100% tariffs on Taiwanese chips and criticised the Chips Act for failing to make more chips domestically for companies like TSMC.

TSMC and Taiwanese officials are rushing to respond to Trump's threat. In January, Wey met with Howard Lutnick, Secretary of Commerce, on the investments that TSMC could make. They investigated the possibility that TSMC would invest in US chipmaker Intel. Taiwanese officials also traveled to Washington and raised the deal to invest in the US.

However, Trump continued to put pressure on his company and the Taiwanese government. At a White House press conference in February, Trump said: We had an Intel. We were doing these great companies very well. It's taken from us and we want to get that business back. We want to bring it back to the US. If they don't get it back, we won't be very happy. ”

TSMC, which will appear on Monday, will be the latest in a series of companies to visit the White House and make investment commitments. In January, Openai, Oracle and Softbank promised to spend $500 billion on data centers over the next four years. Last month, Apple CEO Tim Cook met with Trump before pledging to spend $500 billion over four years.

“In 2020, thanks to President Trump's vision and support, we embarked on our journey to establish advanced chip manufacturing in the United States,” a TSMC spokesperson said in a statement Monday. “We look forward to having the opportunity to meet with the President and discussing our shared vision for innovation and growth in the semiconductor industry.”