Taiwan chip giant TSMC says Arizona plant making 'fast progress'

Taiwan chip giant TSMC says Arizona plant making 'fast progress'

Mark Liu of Taiwan chip giant TSMC said its planned factory in the United States had 'made fast progress'
Mark Liu of Taiwan chip giant TSMC said its planned factory in the United States had 'made fast progress'. Photo: Sam Yeh / AFP
Source: AFP

PAY ATTENTION: Сheck out news that is picked exactly for YOU ➡️ click on “Recommended for you” and enjoy!

Taiwan chip giant TSMC's planned factory in the United States was making "fast progress", the company's chairman said Wednesday, despite it facing a delayed start due to worker shortages and reported union disputes.

Taiwan Semiconductor Manufacturing Company (TSMC) controls more than half of the world's output of microchips -- the lifeblood of the modern economy and found in everything from coffee machines to cars and missiles.

Global worries about Taipei's plummeting relations with Beijing -- which claims the self-ruled island as its territory -- have fuelled a US push to successfully woo the Taiwanese company into building a chip-making factory in Arizona.

But the plant, one of the largest foreign investments in the United States, has been delayed until 2025, which TSMC attributed to a shortage of skilled workers, with technicians to be flown in to train the US foundry's staff.

Read also

Tesla, Chinese brands take centre stage at Munich car show

"We don't need to fuss -- in a new place and at infrastructure built early, it won't be running as smoothly as in Taiwan," conceded chairman Mark Liu, speaking on the sidelines of SemiCon Taiwan, a three-day gathering of the semiconductor industry in Taipei.

"But the morale of our Arizona colleagues is very high and they have made fast progress in the past few months."

Semiconductors are the lifeblood of the modern economy, and are found in everything from coffee machines to cars and missiles
Semiconductors are the lifeblood of the modern economy, and are found in everything from coffee machines to cars and missiles. Photo: Sam Yeh / AFP
Source: AFP

He attributed it to Arizona state and city officials "unanimously supporting and helping TSMC resolve all issues including the labour issue".

The company's comments on skilled worker shortages had incited ire from Arizona's unions, leading to scathing op-eds in local outlets alleging that TSMC was trying to justify bringing in Taiwanese workers.

Liu acknowledged the company has been "boosting our communication recently" with the local union and community.

Read also

Tesla, Chinese EV brands jostle for limelight at German fair

"I think much progress has been made in recent weeks... We will execute the project successfully," he said.

Much of TSMC's manufacturing base is in the northern Taiwanese city of Hsinchu, where its state-of-the-art facilities are producing ever-smaller silicon wafers that have skyrocketed in demand.

It has been facing pressure from the United States and its allies to build more foundries overseas as tensions surge between China and Taiwan, a democracy that Beijing has long vowed to take -- by force if necessary.

Last month, TSMC agreed to invest $3.8 billion (3.5 billion euros) into a new semiconductor factory in Germany, its first in Europe, where the main focus would be on chips for the automotive industry.

"We are currently applying subsidies with the German government and the EU... It's going very well for now," Liu told reporters at SemiCon.

He also declined to comment on whether TSMC would be investing in British chipmaker Arm, which announced Wednesday it would be listing on Nasdaq -- a rare tech IPO that is being closely watched by financial markets.

Liu said only that his company was "evaluating" the situation.

Source: AFP

Authors:
AFP avatar

AFP AFP text, photo, graphic, audio or video material shall not be published, broadcast, rewritten for broadcast or publication or redistributed directly or indirectly in any medium. AFP news material may not be stored in whole or in part in a computer or otherwise except for personal and non-commercial use. AFP will not be held liable for any delays, inaccuracies, errors or omissions in any AFP news material or in transmission or delivery of all or any part thereof or for any damages whatsoever. As a newswire service, AFP does not obtain releases from subjects, individuals, groups or entities contained in its photographs, videos, graphics or quoted in its texts. Further, no clearance is obtained from the owners of any trademarks or copyrighted materials whose marks and materials are included in AFP material. Therefore you will be solely responsible for obtaining any and all necessary releases from whatever individuals and/or entities necessary for any uses of AFP material.