TSMC Will Start Trial Production at Arizona Fab in 2024

TSMC has postponed mass production at its Fab 21 in Arizona to 2025 due to alleged workforce shortage in the state, but the company remains optimistic about its American endeavor. To ensure that the fab will ramp production with high yields and meet some demand, the company established a small-scale pilot line that is set to start making chips in 2024.

This pilot line for small-scale production is expected to be operational by the first quarter of 2024 and have a monthly production capacity ranging from 4,000 to 5,000 wafer starts per month. This strategic shift aims to ensure consistent output and mitigate potential breaches of contracts resulting from these delays, according to a report from TrendForce (citing Money DJ, a Taiwanese media outlet).

Considering the fact that total production capacity of TSMC's Fab 21 is about 20,000 wafer starts per month, 4,000 – 5,000 WSPM may not sound like a big deal. But it is a sizeable production capacity — enough to ensure that the line works while producing some of the chips TSMC's clients need made in the U.S. $Taiwan Semiconductor (TSM.US)$