Plans to Expand U.S. Chip Manufacturing Are Running Into Obstacles (1 min read)

Taiwan Semiconductor Manufacturing Company (TSMC) has delayed its plans to build a $40 billion Arizona factory for semiconductor production, citing local workers’ lack of expertise in installing sophisticated equipment. The second plant will not produce chips until 2027 or 2028, citing uncertainty about tech choices and federal funding. The Biden administration is dispensing the first major awards from a $39 billion pot aimed at building up the US semiconductor industry and reducing its dependence on East Asian technology. The Commerce Department is handing out federal money from the 2022 CHIPS Act to spur domestic chip production, with over 600 companies and organizations submitting statements of interest.

Credit: New York Times By Don Clark and Ana Swanson Feb 19, 2024