Biden/Harris Secure AZ’s Tech Industry Future with $6.6 Billion CHIPS and Science Act Award to TSMC

From Mayor Kate Gallego Facebook Page.

Ed. MDB 11/20/24: Further context for this move by Biden/Harris is that Trump has repeatedly indicated that he opposed the CHIPS Act, including him proclaiming, “…that CHIPS deal is so bad,” giving rise to concern that the funding which is bringing the world’s cutting edge chip manufacturing to Arizona could be in peril. Creating yet more concern for the CHIPS Act’s future, MAGA Speaker Mike Johnson indicated that the MAGA majority in Congress is in alignment with Trump’s objective by repealing the legislation. Given MAGA’s demonstrable hostility to this key legislation that secures the domestic manufacture of the most cutting-edge chips against Chinese threats to Taiwan – apparently simply because Biden/Harris did it – securing the funding for TSMC in Arizona is immensely important to Arizona’s future as a leader in global tech manufacturing.

In a race to allocate funds before the incoming Trump Administration takes office, the Biden/Harris Commerce Department finalized a $6.6 billion award, through the CHIPS and Science Act – a positive piece of legislation that Mr. Trump has said he would like to tear apart – to Taiwan Semiconductor Manufacturing Company (TSMC.)

According to a press release from Senator Mark Kelly, the award included “$5 billion in loans to support the construction of TSMC’s three manufacturing facilities in Phoenix, further cementing Arizona’s role as a global hub for microchip development, testing, manufacturing, and packaging.”

In a White House Press Statement, President Joe Biden wrote:

“Two years ago, shortly after I signed the CHIPS & Science Act, I visited Arizona to announce a commitment by TSMC to invest in America, create American jobs, and shore up American supply chains. On that day, I spoke about how the United States invented semiconductors and used to manufacture nearly 40% of the world’s chips, but now makes closer to 10% of them and none of the most advanced chips. I came to office determined to change that, and we have since delivered on that promise, catalyzing nearly $450 billion in private investment in semiconductors, creating over 125,000 new construction and manufacturing jobs, and reshoring critical technologies to bolster our national and economic security.”

“Today’s final agreement with TSMC – the world’s leading manufacturer of advanced semiconductors – will spur $65 billion dollars of private investment to build three state-of-the-art facilities in Arizona and create tens of thousands of jobs by the end of the decade. This is the largest foreign direct investment in a greenfield project in the history of the United States. The first of TSMC’s three facilities is on track to fully open early next year, which means that for the first time in decades an America manufacturing plant will be producing the leading-edge chips used in our most advanced technologies – from our smartphones, to autonomous vehicles, to the data centers powering artificial intelligence.”

“Today’s announcement is among the most critical milestones yet in the implementation of the bipartisan CHIPS & Science Act, and demonstrates how we are ensuring that the progress made to date will continue to unfold in the coming years, benefitting communities all across the country.”

Arizona’s Governor, Senators, and local Phoenix leaders all voiced their approval for the move in the Kelly Press Release.

Governor Katie Hobbs stated:

“The finalization of this historic agreement with TSMC further solidifies Arizona’s place as a leader in the American manufacturing resurgence. Made in America means made in Arizona, and these investments will create thousands of good-paying, family-supporting jobs that are accessible to everyday Arizonans. The chips that will be made here will power our entire country, from smartphones to autonomous vehicles to cutting-edge aerospace and defense equipment, all while increasing America’s overall independence. I am grateful to Senator Kelly and Senator Sinema for their role in negotiating the CHIPS and Science Act, and I look forward to continuing our work to keep Arizonans at the center of our nation’s future.”

Senator Kyrsten Sinema offered:

“I’m proud that our bipartisan CHIPS and Science law led to today’s finalized $6.6 billion award for TSMC – making transformational investments in our state, creating strong Arizona careers, protecting our national security, and strengthening Arizona’s leadership in semiconductor manufacturing.”

Phoenix Mayor Kate Gallego relayed:

“Today’s announcement is a huge milestone for the City of Phoenix and the entire country. TSMC’s investment in our community will create thousands of great-paying jobs for our residents, boost our local and regional economies, and help secure a critical supply chain of the advanced technology that powers our phones, cars, and so much more. Thanks to the work of Senator Kelly and members of Arizona’s Congressional delegation, the CHIPS Law will advance major technological breakthroughs on U.S. soil and leave generational impacts on Phoenix.”

Senator Mark Kelly wrote:

“With this final agreement in place with TSMC, Arizona is set to become one of the world’s key centers for leading-edge microchip manufacturing. For the first time, the advanced microchips that power America’s military and tech innovators will be made here at home. These investments through the CHIPS and Science Act have us on track to double America’s share of the global microchip market by 2030, strengthening national security, bringing supply chains back to the U.S., and creating tens of thousands of good paying jobs, many of which won’t require a four-year degree. This is not only a win for Arizona’s economy, but for our national security and our continued global leadership and competitiveness.”

Representative and Senator-Elect Ruben Gallego stated:

“Thanks to our bipartisan CHIPS and Science Act, Arizona continues to see historic investments in cutting-edge semiconductor manufacturing. Today’s finalized award for TSMC will create thousands of good-paying jobs and strengthen our national security. I’m excited to make this announcement and look forward to working with TSMC and state and local leaders to ensure its success.” 

Representative Greg Stanton wrote:

“It’s exciting to see our economic vision – years in the making – finally coming to fruition. I’ve long said that no state in the country stood to benefit more from the CHIPS and Science Act than Arizona. With this final agreement with TSMC firmly in place, we’re solidifying Arizona’s position as a global leader for state-of-the-art semiconductor manufacturing and creating thousands of good-paying jobs here at home.”

Thank you President Biden and Vice President Harris for all the investments that will propel growth in Arizona and provide good paying blue and green collar union jobs.

Thank you Bidenomics.


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