TSMC is the second company after Polar Semiconductor to finalize deal.

“Currently, the United States is not manufacturing cutting-edge chips on our shores, and this is the first time we will be able to say that we will make these cutting-edge chips in the United States,” the Commerce secretary said. Gina Raimondo told reporters Thursday.

“I want to remind everyone that these are the chips that power AI and quantum computing. These are the chips that power sophisticated military equipment,” Raimondo added.

Manufacturing these chips in the United States, she stressed, helps address a national security problem.

The first of three TSMC facilities is expected to fully open by early 2025, Biden noted.

At full capacity, the three Arizona facilities are expected to “manufacture tens of millions of cutting-edge logic chips that will power products such as 5G/6G smartphones, autonomous vehicles, and high-performance computing and AI applications.” , said the Ministry of Commerce. .

He added that “early production yields from the first TSMC factory in Arizona are comparable to similar factories in Taiwan.”

This investment is expected to create approximately 6,000 direct jobs in the manufacturing sector.

A senior U.S. official told reporters on condition of anonymity that they expected at least $1 billion to flow to TSMC this year.

In addition to the $6.6 billion in direct financing, the United States is also offering up to $5 billion in loans to TSMC Arizona.

While the United States once made nearly 40 percent of the world’s chips, that proportion is now closer to 10 percent — and none are among the most advanced chips.

Shares of TSMC closed down 1.3 percent in New York on Friday.