TSMC is ramping up its investment expansion in Arizona, USA, with ambitious plans to construct 12 facilities. This includes 8 wafer fabrication plants and 4 advanced packaging facilities, entailing a staggering total investment of up to US$165 billion. Presently, TSMC has secured a second parcel of land. The first wafer fab is anticipated to kick off mass production in the fourth quarter of 2024, while the second is slated for completion in the latter half of 2027. This expansion initiative is set to spur the relocation of the supply chain. However, TSMC is not without its challenges, notably the high construction and operational costs in the US, coupled with steep labor expenses. The company has outlined plans to substantially hike its capital expenditures in 2026 and sustain elevated levels from 2026 through to 2030.
In parallel, TSMC's 2nm process in Taiwan, China, is on track to commence mass production in the fourth quarter of 2025. Moreover, its second wafer fab in Kumamoto, Japan, is poised for an upgrade to a 3nm process. Projections indicate that TSMC's revenue will soar to US$122.54 billion in 2025, reflecting a robust 36.1% year-on-year increase. Additionally, its global market share in wafer foundry is expected to climb to 69.9%, further cementing its status as the industry frontrunner.