Overview

• A Wall Street Journal report on July 4 said TSMC is slowing spending on its Kumamoto, Japan, and Dresden, Germany fabs to accelerate its Arizona buildout ahead of potential U.S. tariffs.
• TSMC issued a statement rejecting the report and said its U.S. capital plans will not impact its projects in other regions.
• CEO C. C. Wei told investors that construction of the Kumamoto Phase 2 specialty fab will begin later this year once local infrastructure is in place.
• The company confirmed that Phase 2 of Fab 21 in Arizona will start volume production of 3 nm chips in 2027, several quarters ahead of its original schedule.
• TSMC’s U.S. expansion is supported by more than $6.6 billion in CHIPS Act subsidies while Japan and Germany have committed their own funding to secure advanced manufacturing capacity.