Under the preliminary agreement announced by the US on Monday, TSMC will be awarded US$6.6 billion in grants and as much as US$5 billion in loans to help the world’s top chip maker build factories in Arizona.
The subsidy, which will be unveiled by Commerce Department Secretary Gina Raimondo, will go towards construction of four facilities in Taylor, including one $17 billion chipmaking plant that Samsung announced in 2021, another factory, an advanced packaging facility and a research and development center, one of the sources said.
At nearly $4 billion it's being called the largest economic investment in Indiana ever. A South Korean tech company is investing that kind of money into the Hoosier state to build a massive microchip manufacturing facility in West Lafayette.
A vigorous debate has already begun about whether the US semiconductor sector will need a second wave of support from Washington in the years ahead as well as what it might look like.