TSMC to Build Self-Reliant U.S. Chip Supply Chain, Plans to Produce Over 30% of 2nm and Advanced Nodes in Arizona

Taiwan Semiconductor Manufacturing Company (TSMC) has laid out ambitious plans to expand its footprint in the United States, targeting a new level of self-reliance in advanced semiconductor production. With its Arizona facilities at the center of this vision, TSMC aims to manufacture over 30% of its 2nm and more advanced chip nodes in the U.S., cementing its role as a key driver of America’s growing semiconductor independence.

According to a report from Nikkei Asia, TSMC's CEO, C.C. Wei, confirmed that once its Arizona operations are fully operational, they will house nearly a third of its most advanced production capacity. “After completion, around 30% of our 2-nanometer and more advanced [chip] capacity will be located in Arizona,” said Wei, emphasizing the company’s commitment to building a leading-edge semiconductor cluster in the U.S.

This move comes amid surging demand in AI and high-performance computing sectors, which have significantly driven TSMC’s revenue, including a 36% year-over-year increase from U.S. operations alone. The Arizona facility, originally announced under a $100 billion investment plan during the Trump administration, is now being further developed with advanced chip packaging capabilities and a dedicated research and development center, elevating it beyond a manufacturing hub into a full innovation ecosystem.

Wei also acknowledged the recent reversal of the U.S. export ban on NVIDIA’s H20 AI accelerator, calling it a “solid development” for business. However, he clarified that TSMC has not yet received new orders for the H20, suggesting that NVIDIA is still prioritizing existing inventory before scaling up further.

TSMC's investment aligns with broader efforts to localize the AI supply chain in the United States, particularly in light of NVIDIA’s massive $500 billion market capitalization and expanding infrastructure. The goal is to secure both national and industrial resilience in the global tech race, especially as geopolitical concerns prompt governments and corporations to diversify their supply chains.

As TSMC moves to establish Arizona as a premier manufacturing location alongside its headquarters in Taiwan, the initiative directly supports the "Made in USA" semiconductor push. With plans to introduce 2nm production lines and deepen technological collaboration within the region, the company is poised to play a central role in America’s semiconductor resurgence.

Do you think TSMC’s 2nm expansion in the U.S. will reshape the global chip supply chain? Share your thoughts below.