National Development Council: TSMC's US factory progress exceeds expectations, but challenges remain with water, electricity, and labor shortages
National Development Council Minister Kung Ming-hsin stated that TSMC's US Arizona factory progress has exceeded expectations, and it is projected to turn profitable in 2025, with profits reaching NT$16.141 billion. However, the construction process still faces challenges such as water, electricity, labor shortages, and regulations. The Ministry of Economic Affairs has established a trade and investment center in the area to help resolve these issues.
📋 Article Processing Timeline
- 📰 Published: May 11, 2026 at 15:51
- 🔍 Collected: May 11, 2026 at 16:02 (10 min after Published)
- 🤖 AI Analyzed: May 11, 2026 at 17:42 (1h 39m after Collected)
Central News Agency
(Central News Agency reporter Pan Tzu-yu, Taipei, 11th) TSMC, the world's leading wafer foundry, is actively expanding its overseas footprint, with its Arizona subsidiary in the United States drawing the most attention. It is expected to turn profitable in 2025, with profits reaching NT$16.141 billion. National Development Council Minister Yeh Chun-hsien revealed that his recent visit to the US included a tour of TSMC. According to TSMC, the progress of the US factory has exceeded expectations, "unexpectedly, (mass production) succeeded on the first try," and the outlook is optimistic. However, TSMC also mentioned that the factory construction process indeed faces challenges such as water, electricity, and labor shortages.
National Development Council Minister Yeh Chun-hsien recently participated in the "SelectUSA Investment Summit" hosted by the US Department of Commerce in Washington D.C. along with Minister of Economic Affairs Wang Mei-hua. During this trip, he also visited the planned site for TSMC's factory in Arizona, met with relevant state government agencies, and then proceeded to Washington D.C. for in-depth exchanges with high-level US officials and important think tanks on AI high-tech autonomy and economic security resilience.
Yeh Chun-hsien shared his reflections on the visit with the media today, stating that a key purpose of the trip was to assess the feasibility of investing in the US and the assistance the government could provide. During his visit to TSMC, TSMC indicated that the progress of the US factory exceeded expectations, but the process indeed faced many challenges. He hopes that sharing this experience will be helpful to other companies interested in investing in the US.
Yeh Chun-hsien stated that TSMC shared four major challenges faced in building factories in the US: first, water and electricity, especially since Arizona has a dry climate and is located in a desert area, water resources indeed pose a problem, and they hope the local state government will do its best to assist; second, regulations, including more complex environmental and electricity usage regulations; third, issues with personnel visa applications and issuance; and fourth, facing labor shortages.
To address this, the Ministry of Economic Affairs has established the "Phoenix Taiwan Trade and Investment Center" in Arizona, which is the second trade and investment service base set up in the US. In the future, it will cooperate with local governments at all levels to assist in investment落地.
Yeh Chun-hsien quoted TSMC as saying that during the factory construction period in the US, dealing with issues such as land, water, and electricity required contacting different agencies, which was a major headache for manufacturers. Therefore, TSMC particularly praised the Phoenix Taiwan Trade and Investment Center, stating that it "can help future enterprises investing in the US solve many problems."
TSMC continues to expand its layout in the US, having recently announced the acquisition of a large area of land near its existing factory site in Arizona to support expansion plans and provide greater flexibility. Yeh Chun-hsien stated that the newly acquired land is very close to the existing factory area, almost just across the highway, adjacent to the first phase area.
Yeh Chun-hsien, who also serves as a corporate director for TSMC, also shared TSMC's views on its US investment plan during the meeting. Yeh Chun-hsien stated that the Arizona factory's successful mass production and profitability "exceeded expectations for TSMC's US factory." According to TSMC, they originally thought it would not be so smooth, but "unexpectedly, (mass production) succeeded on the first try," and the subsequent outlook is optimistic. (Editor: Pan Yi-ching) 1150511
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(Central News Agency reporter Pan Tzu-yu, Taipei, 11th) TSMC, the world's leading wafer foundry, is actively expanding its overseas footprint, with its Arizona subsidiary in the United States drawing the most attention. It is expected to turn profitable in 2025, with profits reaching NT$16.141 billion. National Development Council Minister Yeh Chun-hsien revealed that his recent visit to the US included a tour of TSMC. According to TSMC, the progress of the US factory has exceeded expectations, "unexpectedly, (mass production) succeeded on the first try," and the outlook is optimistic. However, TSMC also mentioned that the factory construction process indeed faces challenges such as water, electricity, and labor shortages.
National Development Council Minister Yeh Chun-hsien recently participated in the "SelectUSA Investment Summit" hosted by the US Department of Commerce in Washington D.C. along with Minister of Economic Affairs Wang Mei-hua. During this trip, he also visited the planned site for TSMC's factory in Arizona, met with relevant state government agencies, and then proceeded to Washington D.C. for in-depth exchanges with high-level US officials and important think tanks on AI high-tech autonomy and economic security resilience.
Yeh Chun-hsien shared his reflections on the visit with the media today, stating that a key purpose of the trip was to assess the feasibility of investing in the US and the assistance the government could provide. During his visit to TSMC, TSMC indicated that the progress of the US factory exceeded expectations, but the process indeed faced many challenges. He hopes that sharing this experience will be helpful to other companies interested in investing in the US.
Yeh Chun-hsien stated that TSMC shared four major challenges faced in building factories in the US: first, water and electricity, especially since Arizona has a dry climate and is located in a desert area, water resources indeed pose a problem, and they hope the local state government will do its best to assist; second, regulations, including more complex environmental and electricity usage regulations; third, issues with personnel visa applications and issuance; and fourth, facing labor shortages.
To address this, the Ministry of Economic Affairs has established the "Phoenix Taiwan Trade and Investment Center" in Arizona, which is the second trade and investment service base set up in the US. In the future, it will cooperate with local governments at all levels to assist in investment落地.
Yeh Chun-hsien quoted TSMC as saying that during the factory construction period in the US, dealing with issues such as land, water, and electricity required contacting different agencies, which was a major headache for manufacturers. Therefore, TSMC particularly praised the Phoenix Taiwan Trade and Investment Center, stating that it "can help future enterprises investing in the US solve many problems."
TSMC continues to expand its layout in the US, having recently announced the acquisition of a large area of land near its existing factory site in Arizona to support expansion plans and provide greater flexibility. Yeh Chun-hsien stated that the newly acquired land is very close to the existing factory area, almost just across the highway, adjacent to the first phase area.
Yeh Chun-hsien, who also serves as a corporate director for TSMC, also shared TSMC's views on its US investment plan during the meeting. Yeh Chun-hsien stated that the Arizona factory's successful mass production and profitability "exceeded expectations for TSMC's US factory." According to TSMC, they originally thought it would not be so smooth, but "unexpectedly, (mass production) succeeded on the first try," and the subsequent outlook is optimistic. (Editor: Pan Yi-ching) 1150511
Choose to stand with facts, every sponsorship you make is a force to protect press freedom.
Download the Central News Agency's "First-hand News" APP to stay updated with the latest news.
The text, images, and videos on this website may not be reproduced, publicly broadcast, or publicly transmitted and used without authorization.