With the Trump administration taking over the office, we have seen an ‘unprecedented’ level of chip demand coming in from US customers, which is why companies like TSMC have pledged to invest ‘hundreds of billions’ into America to ensure that the nation has a resilient chip supply chain. Projects like TSMC Arizona indicate that the US is emerging as a world semiconductor hub, alongside Taiwan, which is why, according to an estimate by McKinsey, the development of the chip industry in the US is significantly higher than in any other region.

According to the report, nearly 90% of the total FDI in the chip industry was directed towards the US in 2025 alone, with a majority of partnerships formed between entities from Taiwan and South Korea. Of course, out of all the names shifting manufacturing to the US, there’s no doubt that TSMC is the largest, not just in terms of the magnitude of its investments, but also in the importance of the company’s pursuit to establish a chip supply chain in the US. TSMC’s Arizona fab is currently mass-producing the 4nm technology, and even has plans to scale up to A16 (1.6nm), showcasing the firm’s commitment towards producing chips in then US.

Apart from Taiwan, South Korea has heavily invested in the US semiconductor sector, driven by companies such as Samsung and Micron. Samsung’s Taylor facility has been a victim of delays ever since it received CHIPS Act grants under the Biden adminstration, but based on recent reports, the fab is back on track, and is showing promising development towards producing the SF2 (2nm) process in the US. The company has also received pivotal orders for Tesla’s custom AI chips; hence, it would not be wrong to say that Samsung also plays an integral role in the US chip supply chain.

Read the article.