According to Reuters, officials in Phoenix, Arizona, USA, voted unanimously on Wednesday to approve the development agreement with TSMC, which will provide $205 million in city funds for infrastructure construction.

As early as May, TSMC revealed its plan to build a 5-nanometer chip factory in Arizona, saying that this will be its first advanced manufacturing plant in the United States. At the beginning of this month, TSMC announced that it had approved the establishment of a wholly-owned subsidiary in the United States.

According to the agreement, TSMC will build a new factory and create 1,900 new full-time jobs, which will be carried out in phases within five years. Construction will start in early 2021 and production is expected to start in 2024.