Apple supplier TSMC delays start of Arizona chip factory

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Workers at TSMC Semiconductor Manufacturing Facility in Phoenix, Arizona, on December 6, 2022.

Brendan Smialowski | AFP | Getty Images

Taiwan Semiconductor Manufacturing Company will delay production at its new Arizona-based chip plant to 2025 due to a shortage of skilled labor, the company’s chairman said on the company’s second-quarter earnings call Thursday.

Apple said it plans to use computer chips built at TSMC’s Arizona facilities.

TSMC previously anticipated that it would begin making 5-nanometer chips in 2024.

Liu said the company is working to send trained technicians from Taiwan to train local workers to help accelerate installation.

The U.S. has embarked on a major push to bring semiconductor manufacturing back stateside, including through funding the multi-billion dollar Chips and Science Act to turbocharge development. The pandemic highlighted the significant dependence the U.S. has on countries like Taiwan to develop computer chips, creating a national security risk and giving the U.S. less control over the supply chain.

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WATCH: A first look at TSMC’s giant 5-nanometer chip fab being built in Phoenix