Apple supplier TSMC delays start of Arizona chip factory

Workers at TSMC’s semiconductor manufacturing facility in Phoenix, Arizona, Dec. 6, 2022.

Brendan Smirowski | AFP | Getty Images

TSMC will delay production at its new chip factory in Arizona until 2025 due to a shortage of skilled labor, the chairman of TSMC said on Thursday during TSMC’s second-quarter earnings call.

apple Said it planned to use computer chips made at TSMC’s Arizona plant.

TSMC Chairman Mark Liu told analysts on an earnings call on Thursday that the company did not have enough skilled workers to install advanced equipment at the plant as originally planned. The company previously expected to start producing 5nm chips in 2024.

The company is working to send technicians from Taiwan to train local workers to help speed up the installation, Liu said.

The United States has begun a major push to bring semiconductor manufacturing back to American soil, including funding the multibillion-dollar Chips and Science Act to drive development. The pandemic has highlighted America’s heavy reliance on countries such as Taiwan to develop computer chips, creating national security risks and weakening U.S. control over supply chains.

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WATCH: A first look at TSMC’s giant 5nm chip factory in Phoenix

First look at TSMC's giant 5nm chip factory in Phoenix

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