TSMC Adds $100 Billion to Its U.S. Spending Plan

Taiwan Semiconductor Manufacturing Co. said Thursday it plans to spend another $100 billion on expanding its manufacturing capacity in the United States, bringing the company's total pledges for U.S. investment to $265 billion. The world's largest contract chipmaker announced the commitment during its quarterly earnings conference. Chairman and CEO C.C. Wei said the extra investments are to support strong multiyear demand from leading U.S. customers. An additional four fabrication plants in Arizona will likely be built with the new investments, focusing on making advanced chips that are 2-nanometer and below. Wei said the investment will help foster development of the U.S. semiconductor ecosystem, strengthen the supply chain and support high-tech, high-paying jobs. TSMC had previously committed $165 billion in the U.S. for building plants in Arizona with six fabrication facilities planned. The company also raised its annual capital expenditure budget for this year to $60 billion-$64 billion, up from an earlier estimate of $52 billion-$56 billion. TSMC reported a record 706.6 billion new Taiwan dollars ($22 billion) in net profit for the April-June quarter, up 77% from a year earlier. Revenue rose 36% year-on-year to 1.27 trillion new Taiwan dollars ($39 billion). Wei said TSMC now expects annual 2026 revenue growth to be slightly above 40% year-on-year, up from a previous forecast of over 30%.