President Joe Biden talked about Taiwan Semiconductor Manufacturing Co.'s plan to increase its investment in Arizona manufacturing to $40 billion from $12 billion.
Biden noted that Apple AAPL, a major TSMC customer, and that Tim Cook, the iPhone maker's CEO, was in attendance.
Apple had to buy all of the advanced chips from overseas. They are going to bring more of their supply chain to their home. The president said it could be a gamechanger as he spoke at a TSMC facility in Phoenix.
TSMC TSM, 2330, which is already spending $12 billion in order to build a factory in Phoenix, announced Tuesday morning that it is constructing a second facility that is scheduled to come on line in 2026.
The largest foreign direct investment in Arizona history and one of the largest foreign direct investments in the history of the United States will be the overall investment for these two fabs, said TSMC, the world's largest contract manufacturer of chips, in a news release.
A range of VIPs were expected to attend the White House, including TSMC founder Morris Chang, Micron MU, CEO Sanjay Mehrotra, NVIDIA NVDA CEO Jensen Huang, Arizona Republican Gov. The stock of TSMC was down by 2% on Tuesday and has lost 22% this year.
The DJIA, COMP, fell sharply Tuesday, with analysts blaming concerns over a U.S. recession, leaving the S&P 500 SPX off by 17% in the year to date.
It's been a rough few years for the hardworking Americans and businesses as well. Things are still rough in a lot of families. There are bright spots where America is reasserting itself, and the innovation and manufacturing boom in Arizona is one of those places, Biden said.
Tim Cook, CEO of Apple, confirmed that the company will use chips made in Arizona.