- Taiwan Semiconductor Manufacturing Co. has added $100 billion to its planned $165 billion investment in the U.S. semiconductor sector
- The investment will be used to build 12 semiconductor and packaging facilities in the U.S.
- The announcement is part of a historic U.S.-Taiwan trade deal signed in January
The Department of Commerce announced that Taiwan Semiconductor Manufacturing Co. has pledged to invest an additional $100 billion in U.S. advanced semiconductor manufacturing and packaging operations, bringing its total planned U.S. investment to $265 billion.
The Thursday announcement follows a historic trade and investment agreement between the United States and Taiwan finalized in January. The additional investment will bring TSMC’s total U.S. footprint to 12 leading-edge semiconductor and packaging plants.
What Are the Details of the U.S.-Taiwan Semiconductor Deal?
The latest expansion builds on a March 2025 announcement in which TSMC, alongside President Donald Trump and Commerce Secretary Howard Lutnick, committed to increasing its original $65 billion investment by $100 billion. In January, the U.S. and Taiwan signed the broader U.S.-Taiwan trade and investment agreement, facilitated through the American Institute in Taiwan and the Taipei Economic and Cultural Representative Office in the United States. The administration characterized the deal as central to its strategy of reinforcing domestic manufacturing capacity and preserving U.S. technological leadership through international partnerships.
What Is the Economic Impact of the Additional Investment?
The latest investment increment adds four advanced semiconductor production sites to the previously planned construction of eight facilities. Beyond TSMC’s direct commitment, the underlying U.S.-Taiwan trade and investment agreement is expected to spur additional Taiwanese capital flowing into the U.S. The agreement outlines $250 billion in direct investments from Taiwanese semiconductor and other enterprises, along with an additional $250 billion earmarked for bringing other critical segments of the semiconductor supply chain onshore.
“President Trump’s leadership is driving companies to invest in American manufacturing. TSMC’s announcement of an additional $100 billion investment following our historic deal on trade and investment with Taiwan will create tens of thousands of American jobs and bring advanced semiconductor manufacturing back to America,” said Commerce Secretary Howard Lutnick.
TSMC Chairman and CEO C.C. Wei credited the administration’s engagement for enabling the expanded investment. “We appreciate the strong collaboration and support of the Trump Administration, Secretary Lutnick and our leading U.S. customers, and have announced an additional $100 billion investment in the U.S., bringing the total planned investment to $265 billion and adding to the largest foreign direct investment in U.S. history,” Wei said.
