The Taiwan Semiconductor Manufacturing Company (TSMC) will expand its 2nm chip production to the United States in 2025. The company plans to produce 2nm chips in its Arizona facility by next year. The development aligns with the U.S. government’s push to bolster domestic semiconductor manufacturing under the CHIPS Act.
TSMC has already secured $6.6 billion in funding from the U.S. to establish three fabrication plants (fabs) in Arizona. The first fab will focus on 4nm chips starting early next year. By the decade’s end, the third facility will commence 2nm production, solidifying TSMC’s position in cutting-edge semiconductor technology.
U.S. and Taiwan collaborate on chip advancements in 2025
Minister Wu Cheng-wen of Taiwan’s Science and Technology Council recently stated that TSMC’s 2nm manufacturing process could expand to other friendly nations post-2025.
Wu assured that advanced semiconductor R&D will remain in Taiwan, safeguarding the island’s critical role in the global supply chain. However, he emphasized that the government is open to strategic partnerships with allies to expand localized production capabilities.
The move to 2nm technology represents a leap forward in chip design. Smaller nodes enable more transistors to fit on a chip, improving performance and energy efficiency. This technology will position TSMC to compete with rivals like Intel, which plans to launch its 18A process in 2025.
Minister Wu noted that despite TSMC’s leadership in manufacturing advanced chips, the U.S. remains the global leader in semiconductor technology. He highlighted the importance of the U.S. in intellectual property, manufacturing materials, and design innovation, crucial components of the semiconductor ecosystem.
Arizona Fabs poised for a strategic role
TSMC’s Arizona facilities will play a pivotal role in U.S. semiconductor manufacturing. The decision to produce 2nm chips domestically reflects a broader effort to reduce reliance on overseas supply chains.
The first Arizona fab, scheduled to begin 4nm chip production in 2024, will lay the groundwork for the 2nm facility. This phased approach ensures a seamless transition to next-generation technology. The TSMC 2nm US 2025 project is expected to drive innovation, create jobs, and strengthen the U.S. semiconductor industry.
