Taiwan Semiconductor Manufacturing Co (TSMC, 台積電), the world’s largest contract chipmaker, has promised that Americans would be prioritized in its hiring process for jobs to build the company’s cutting-edge wafer fabs in Arizona.
In a statement released on Tuesday, TSMC said the company has no intention of replacing US workers with foreigners, and would continue to hire locally for the construction of the wafer fabs and equipment installation.
The company is investing US$40 billion to build two mega wafer fabs in Phoenix to cater to the demand of its US customers.
Photo: Caitlin O’Hara, Bloomberg
The statement comes after a major construction worker union fired back at TSMC’s “offensive” claims of a lack of skilled workers for the construction of its facility in Phoenix during an investors’ conference in Taipei on July 20.
TSMC chairman Mark Liu (劉德音) said at the meeting that the start of mass production in one fab — which is to use advanced 4-nanometer process technology — would be delayed from late next year to 2025, because the facility was facing “some challenges.”
Liu attributed the delay to a lack of workers with the required expertise for equipment installation in the Arizona fab.
Another fab under construction in Arizona, which is to deploy 3-nanometer process technology, is scheduled to begin mass production in 2026. Liu did not mention any change to the timeframe of that fab.
In an article published in the Phoenix Business Journal on Wednesday last week, Aaron Butler, head of the Arizona Building and Construction Trades Council, said that TSMC should not blame US workers for the construction delays.
“Blaming American workers for problems with this project is as offensive to American workers as it is inaccurate,” Butler said. “This leaves just one alternative conclusion: that TSMC is blaming its construction delays on American workers and using that as an excuse to bring in foreign workers who they can pay less.”
Butler said workers in Arizona have been building fabs and installing production equipment for 40 years while working for Intel Corp, adding that the state boasts a highly skilled workforce well prepared for this type of work.
Butler added that the unions have fulfilled all the working hours required by TSMC, in response to claims that there was a shortage of skilled US workers.
However, in its statement, TSMC did say that because the company requires specific skills for the construction of the Arizona fab and equipment installation, it would need to send a limited number of workers to the US state on a temporary basis.
TSMC said the number of workers traveling to Arizona had not been finalized and that their presence would not affect the 12,000 workers currently working on-site and its general US-based hiring process.
The chipmaker said the presence of skilled workers for a short amount of time would facilitate the training of their counterparts in Arizona, and that this arrangement would allow the company to accelerate its push for investments in the state, which would in turn lead to significant economic benefits through the creation of thousands of high-paying jobs, and the innovation drive in Arizona and across the nation.
Semiconductor shares in China surged yesterday after Reuters reported the US had ordered chipmaking giant Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) to halt shipments of advanced chips to Chinese customers, which investors believe could accelerate Beijing’s self-reliance efforts. TSMC yesterday started to suspend shipments of certain sophisticated chips to some Chinese clients after receiving a letter from the US Department of Commerce imposing export restrictions on those products, Reuters reported on Sunday, citing an unnamed source. The US imposed export restrictions on TSMC’s 7-nanometer or more advanced designs, Reuters reported. Investors figured that would encourage authorities to support China’s industry and bought shares
TECH WAR CONTINUES: The suspension of TSMC AI chips and GPUs would be a heavy blow to China’s chip designers and would affect its competitive edge Taiwan Semiconductor Manufacturing Co (TSMC, 台積電), the world’s biggest contract chipmaker, is reportedly to halt supply of artificial intelligence (AI) chips and graphics processing units (GPUs) made on 7-nanometer or more advanced process technologies from next week in order to comply with US Department of Commerce rules. TSMC has sent e-mails to its Chinese AI customers, informing them about the suspension starting on Monday, Chinese online news outlet Ijiwei.com (愛集微) reported yesterday. The US Department of Commerce has not formally unveiled further semiconductor measures against China yet. “TSMC does not comment on market rumors. TSMC is a law-abiding company and we are
FLEXIBLE: Taiwan can develop its own ground station equipment, and has highly competitive manufacturers and suppliers with diversified production, the MOEA said The Ministry of Economic Affairs (MOEA) yesterday disputed reports that suppliers to US-based Space Exploration Technologies Corp (SpaceX) had been asked to move production out of Taiwan. Reuters had reported on Tuesday last week that Elon Musk-owned SpaceX had asked their manufacturers to produce outside of Taiwan given geopolitical risks and that at least one Taiwanese supplier had been pushed to relocate production to Vietnam. SpaceX’s requests place a renewed focus on the contentious relationship Musk has had with Taiwan, especially after he said last year that Taiwan is an “integral part” of China, sparking sharp criticism from Taiwanese authorities. The ministry said
US President Joe Biden’s administration is racing to complete CHIPS and Science Act agreements with companies such as Intel Corp and Samsung Electronics Co, aiming to shore up one of its signature initiatives before US president-elect Donald Trump enters the White House. The US Department of Commerce has allocated more than 90 percent of the US$39 billion in grants under the act, a landmark law enacted in 2022 designed to rebuild the domestic chip industry. However, the agency has only announced one binding agreement so far. The next two months would prove critical for more than 20 companies still in the process