Taiwan Semiconductor Manufacturing Co. (TSMC) is reportedly considering a second major U.S. semiconductor production hub in Dallas, Texas. The proposal would add six advanced wafer fabs. Its potential investment could exceed the $265 billion TSMC has committed to its Arizona facilities.
The expansion would help meet rising demand for AI and high-performance computing chips from major U.S. customers, including Nvidia and Apple. Together, the two companies account for more than 75% of TSMC’s revenue.
The proposed sites would form a Southern Semiconductor Dual-Core Corridor linking Arizona and Texas, bringing production closer to key clients and strengthening supply-chain resilience. Other potential factors include U.S. tariffs and growing constraints on land, water and power in Taiwan.
TSMC has made no final decision, but sources say site evaluations are in their final stages. MarketWatch reported that TSMC’s U.S.-listed shares slipped 0.4% in premarket trading after the reports.