In a historic milestone for U.S. semiconductor manufacturing, TSMC's Fab 21 facility near Phoenix, Arizona has begun producing cutting-edge 4nm chips with quality and yields matching those from its Taiwan operations, according to U.S. Commerce Secretary Gina Raimondo.
The facility is already manufacturing advanced processors for major tech companies, including Apple's A16 Bionic chip used in iPhone 15 models and components for Apple Watch's S9 system. AMD Ryzen 9000-series CPUs are also reportedly being produced at the Arizona plant.
The fab's current output is estimated at 10,000 wafer starts per month, marking the first time such advanced semiconductor manufacturing has taken place on U.S. soil. This achievement aligns with the Biden administration's goal of producing 20% of the world's most advanced logic chips domestically by 2030.
To support this initiative, the U.S. Commerce Department has provided TSMC with $6.6 billion in grants and up to $5 billion in loan guarantees. The total investment in the Fab 21 site is expected to reach approximately $65 billion, encompassing three manufacturing modules.
The facility's expansion plans include Phase 2, scheduled for 2028, which will introduce 3nm process technology. By the end of the decade, Phase 3 will advance to even more sophisticated 2nm and 1.6nm nodes with enhanced power delivery systems.
This development represents a major step forward in strengthening America's semiconductor manufacturing capabilities and reducing dependence on overseas chip production.