April 17, 2025 /SemiMedia/ — TSMC is set to raise prices at its Arizona plant by 30%, responding to a sharp increase in demand from major U.S. clients including Apple, Nvidia, and AMD, according to industry sources.

The Arizona fab, initially considered costly and underutilized, is now facing capacity shortages, particularly for 4nm chips, as American tech companies accelerate orders to mitigate the risks of future tariff policy changes. Monthly capacity currently stands at around 20,000 to 30,000 wafers, but is being expanded.

Apple is expected to be the largest customer, with Nvidia and AMD also confirming plans to increase production at TSMC’s US facility. These moves come ahead of potential tariff changes under former President Donald Trump’s trade agenda, which could impose higher costs on chips sourced from Taiwan.

Despite the 30% price hike, customers are accepting the increase, viewing it as a strategic move to secure local supply and avoid future trade-related disruptions. TSMC is ramping up production capacity in the U.S., but near-term supply remains tight.