TSMC seeking up to $15 billion from for Arizona chip plants

Taiwan Semiconductor Manufacturing Co. is looking for as much as $15 billion in tax credit and grants from the federal authorities to assist its Arizona semiconductor vegetation amid issues about subsidy standards, the Wall Avenue Journal reported Wednesday.

TSMC expects to obtain $7 billion to $8 billion in tax credit underneath the CHIPS Act, along with $6 billion to $7 billion in grants for its Arizona vegetation, based on the WSJ, citing individuals conversant in the matter.

TSMC is investing greater than $40 billion in constructing two fabs in north Phoenix, marking one of many largest overseas direct investments within the state and U.S. historical past. It plans to make use of greater than 4,500 employees at its Arizona campus the place it can produce 3-and-4 nanometer chips, the Phoenix Enterprise Journal beforehand reported.

TSMC has expressed concern about CHIPS Act subsidy standards, together with guidelines that may require the corporate to share some earnings with the U.S. authorities if returns exceed projections. The corporate is anxious that economics of its Arizona challenge could not pencil out if earnings are capped by the federal government, based on the WSJ.

This story is posted in partnership with Phoenix Enterprise Journal. Click on to learn the total story.