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U.S. offers TSMC up to $6.6 billion for Arizona factories
The Biden administration announced a preliminary agreement on Monday to provide up to $6.6 billion in U.S. government funding to TSMC’s Arizona subsidiary.
This funding, part of the U.S. CHIPS and Science Act, will support TSMC’s $65 billion investment in three advanced fabrication plants in Phoenix.
Additionally, TSMC is eligible for approximately $5 billion in proposed loans under the CHIPS Act.
U.S. Secretary of Commerce Gina Raimondo hailed the agreement as significant, highlighting the partnership’s potential to bring advanced chip manufacturing to American soil.
The funding includes provisions for $50 million to train and develop local talent in Arizona, where TSMC has already created over 25,000 jobs and attracted 14 semiconductor suppliers.
The CHIPS Act, passed in August 2022, aims to strengthen the U.S. semiconductor industry for economic and national security reasons, offering incentives for domestic chip production, CNBC has reported.
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