TSMC bags up $11.6bn Chips Act funding

TSMC and the US Department of Commerce have finalised their previously announced preliminary  agreement that TSMC should receive $6.6 billion of Chips Act money plus €5 billion in loans and a 25% tax credit on infrastructure capex to support the $65 billion investment it is making in three fabs in Arizona.

“This is the largest foreign direct investment in a

greenfield project in the history of the United States,” says US President Joe Biden (pictured right)  “the first of TSMC’s three facilities is on track to fully open early next year, which means that for the first time in decades an America manufacturing plant will be producing the leading-edge chips used in our most advanced technologies.”

“Entering this phase of the U.S. CHIPS and Science Act

marks a pivotal step in strengthening the semiconductor ecosystem in the United States,” says TSMC CEO C.C. Wei (pictured left), “TSMC appreciates the continual collaboration with customers, partners, local communities and the U.S. government beginning in early 2020. The signing of this agreement helps us to accelerate the development of the most advanced semiconductor manufacturing technology available in the U.S.”