TSMC executive: Plans to open chip packaging plant in Arizona by 2029
TSMC executive Kevin Zhang announced plans to establish an advanced chip packaging plant (CoWoS and 3D-IC) in Arizona by 2029. This aims to resolve the supply bottleneck for AI chips for clients like Nvidia and Apple.
📋 Article Processing Timeline
- 📰 Published: April 23, 2026 at 05:06
- 🔍 Collected: April 23, 2026 at 05:31 (25 min after Published)
- 🤖 AI Analyzed: April 23, 2026 at 06:05 (33 min after Collected)
Central News Agency
(Central News Agency, Santa Clara, California, 22nd) Kevin Zhang, TSMC's Senior Vice President of Global Sales and Co-Chief Operating Officer, told Reuters that TSMC plans to open a chip packaging plant in Arizona by 2029.
According to Reuters, modern artificial intelligence (AI) chips, such as those manufactured by Nvidia, are not single chips. Instead, multiple chips are integrated together using advanced packaging technology. This step has become a major supply bottleneck for Nvidia and other manufacturers.
During its earnings call in January, TSMC stated that it was applying for the relevant permits to begin construction of its first advanced packaging plant within its existing factory site in Arizona, but did not provide a specific timeline for its operational start.
Reportedly, at a conference in Santa Clara, California today, TSMC executives indicated that related construction has already begun.
Zhang stated yesterday: "We are actively expanding our capabilities within our Arizona site. We plan to establish CoWoS and 3D-IC capabilities locally by 2029, which remains our goal."
According to Reuters, the CoWoS and 3D-IC he mentioned are two of TSMC's packaging technologies experiencing strong demand. Companies like Apple and Nvidia have already begun purchasing chips from TSMC's Arizona plant, but many of these chips still need to be shipped back to Taiwan for packaging.
Last year, major US semiconductor packaging and testing firm Amkor Technology announced it was collaborating with Apple and Nvidia on plans to build a packaging plant in Arizona by mid-2027 and begin production in early 2028, a timeline earlier than TSMC's.
Amkor and TSMC had noted in 2024 that they would cooperate to bring several of TSMC's advanced packaging technologies to Arizona, though neither company disclosed specific details.
Zhang said that Amkor and TSMC are continuously engaged in technical dialogues.
He stated: "We are working with them to understand the technological capabilities they can offer to our customers, aiming to accelerate the process of producing some products in the United States."
He added: "There are still some variables, and we are indeed evaluating all possibilities to establish a diversified manufacturing footprint." (Translated by: Chen Cheng-chien) 1150423
(Central News Agency, Santa Clara, California, 22nd) Kevin Zhang, TSMC's Senior Vice President of Global Sales and Co-Chief Operating Officer, told Reuters that TSMC plans to open a chip packaging plant in Arizona by 2029.
According to Reuters, modern artificial intelligence (AI) chips, such as those manufactured by Nvidia, are not single chips. Instead, multiple chips are integrated together using advanced packaging technology. This step has become a major supply bottleneck for Nvidia and other manufacturers.
During its earnings call in January, TSMC stated that it was applying for the relevant permits to begin construction of its first advanced packaging plant within its existing factory site in Arizona, but did not provide a specific timeline for its operational start.
Reportedly, at a conference in Santa Clara, California today, TSMC executives indicated that related construction has already begun.
Zhang stated yesterday: "We are actively expanding our capabilities within our Arizona site. We plan to establish CoWoS and 3D-IC capabilities locally by 2029, which remains our goal."
According to Reuters, the CoWoS and 3D-IC he mentioned are two of TSMC's packaging technologies experiencing strong demand. Companies like Apple and Nvidia have already begun purchasing chips from TSMC's Arizona plant, but many of these chips still need to be shipped back to Taiwan for packaging.
Last year, major US semiconductor packaging and testing firm Amkor Technology announced it was collaborating with Apple and Nvidia on plans to build a packaging plant in Arizona by mid-2027 and begin production in early 2028, a timeline earlier than TSMC's.
Amkor and TSMC had noted in 2024 that they would cooperate to bring several of TSMC's advanced packaging technologies to Arizona, though neither company disclosed specific details.
Zhang said that Amkor and TSMC are continuously engaged in technical dialogues.
He stated: "We are working with them to understand the technological capabilities they can offer to our customers, aiming to accelerate the process of producing some products in the United States."
He added: "There are still some variables, and we are indeed evaluating all possibilities to establish a diversified manufacturing footprint." (Translated by: Chen Cheng-chien) 1150423