Plans to Expand U.S. Chip Manufacturing Are Running Into Obstacles
Delays in finishing new factories are emerging, just as the Biden administration begins handing out money to stoke domestic production.
At TSMC’s Arizona site, unforeseen problems have piled up over the past year.
Last summer, construction unions in the state raised issues about workplace safety and objected to TSMC’s bringing workers from Taiwan to help install sophisticated equipment in the first factory. Delays in installing machines led to an announcement in July about the production delay.
In December, TSMC and the Arizona Building and Construction Trades Council agreed on ground rules at the site for safety, workplace training, site staffing and other issues. In an emailed statement, Mr. Liu, who recently announced plans to retire, sounded hopeful that worker tensions were over.
He acknowledged “challenges” in building the first Phoenix factory, but said TSMC was still “the fastest player” among its peers in completing such projects. While he told analysts in January that the company would delay the start of production at the second factory, also known as a fab, worker skills aren’t likely to be among the reasons.
“We believe the construction of our second fab will be much smoother,” Mr. Liu said. “The workers in Arizona learn things quickly.”
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