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TSMC Has Secured Approval for US$44 Billion U.S. Investment

The Ministry of Economic Affairs has authorized billions in capital for the company's expanding Arizona operations.

Updated on Sept. 26, 2026 in Semiconductors

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Taiwan Semiconductor Manufacturing Co. has secured approval for US$44 billion in capital investments to support its expanding chip manufacturing operations in Arizona. AI Illustration. Upload story photo >

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The Ministry of Economic Affairs has approved US$44 billion in TSMC investments for its United States operations since 2020. This capital will support the company's massive US$265 billion investment plan centered in Arizona.

Why it matters

These investments are intended to bolster TSMC's capital presence in the U.S. while helping the firm maintain its global lead in advanced process development.

TSMC currently operates 19 advanced wafer fabs and assembly plants in Taiwan, with 13 additional facilities under construction across Hsinchu, Taichung, Chiayi, Tainan, and Kaohsiung. The firm successfully launched its 2-nanometer process into commercial production in Q4 2025.

The players

TSMC

This Taiwan-based multinational semiconductor manufacturer is the world's largest dedicated independent semiconductor foundry.

Ministry of Economic Affairs

This cabinet-level ministry in Taiwan oversees the nation's economic development, industrial policy, and international trade regulations.

The details

The manufacturer submits investment applications to the Ministry of Economic Affairs Department of Investment Review before remitting capital to its Arizona subsidiary. TSMC is currently scaling its technical capabilities, with production of the A14 process scheduled to commence in 2028.

Timeline

  1. December 2020 marked the approval of the first TSMC investment application.

  2. A US$3.5 billion investment package was approved in March 2023.

  3. The 2-nanometer process technology officially entered commercial production in Q4 2025.

  4. The Ministry of Economic Affairs approved a US$20 billion investment in July 2026.

  5. Commercial production of the A14 process is scheduled to begin in 2028.

The Tech Race

TSMC's multi-billion dollar investment strategy marks a transition from centralized domestic production to a decentralized, global manufacturing footprint. This shift positions the firm to outpace global competitors by scaling advanced fabrication capacity closer to its primary international customers.

The expansion of advanced fabrication capacity influences the availability and cost of next-generation chips used in consumer electronics and personal computing devices. Users may see faster product iteration cycles as the company brings its most advanced manufacturing processes to more global hubs.

The takeaway

TSMC's massive capital injection into U.S.-based facilities highlights the company's aggressive strategy to secure its supply chain against international volatility. Readers should expect continued consolidation in the foundry space as fabrication costs for sub-2-nanometer chips remain high.

What happens next

Commercial production of the A14 process is scheduled to begin in 2028.

Further reading

For more on the industry's manufacturing capacity, visit our Semiconductors section.

Live Poll

Do you worry that large-scale overseas investment by domestic chipmakers negatively impacts the national economy?