Trump Announces TSMC Doubling Arizona Chip Facilities, Predicts 50% Global Market by 2029

A Bet on American Soil

Earlier, TSMC had revealed plans to invest heavily in American chip factories, with a package of investments amounting to $65 billion in 2024 coinciding with the signing of the U.S. CHIPS Act. That package supported the construction of three chip fabrication plants in Arizona.

Then in March 2025, TSMC CEO C.C. Wei appeared with Trump to announce an additional $100 billion commitment. The package includes three new fabrication plants in Phoenix for next-generation AI chips, plus a pair of advanced packaging sites in Arizona and a research-and-development center. TSMC said the project would support 40,000 construction jobs over four years.

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Now Trump says the Arizona operation is getting even bigger. "They just announced they're going to double the size," Trump said. The president made the statement on July 1, 2026. TSMC declined to comment.

The Numbers Behind the Expansion

The total TSMC commitment to the U.S. now stands at $165 billion. That covers the 2024 investment and the 2025 announcement. The doubling Trump referred to would apply to the facilities already under construction.

Trump's 50% market share prediction is a bold leap. According to a 2023 study by the U.S. International Trade Commission, over 44% of logic chips brought into the United States came from Taiwan.

The administration has made reshoring semiconductor production a priority. It has leveraged tariff threats to encourage firms such as TSMC to set up U.S. factories. Trump has argued that domestic chip production is critical for national security and economic independence, reducing reliance on foreign suppliers for advanced semiconductors. The new Arizona facilities, slated to start production later this decade, will manufacture cutting-edge chips used in artificial intelligence and defense systems.

Trump said the new chip plants will open over the next year.

"We're creating more jobs, we have more people working today than have ever worked in the history of our country," Trump said. "It's great and that's before these places opened."

Trump said, "The biggest company in the world, actually, the chipmaker. But they're coming in, they're building in Arizona, and they just announced they're going to double the size. We could have 50% of the chip market by the time I leave office. You know what we have now? Nothing."

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