Chip giant TSMC says it will spend $40 billion on its next US factories in Arizona. It's the company's largest investment outside of Taiwan.

TSMC says it will spend an additional $40 billion on its US factories in Arizona, the company announced in a statement Tuesday. The company, formally Taiwan Semiconductor Manufacturing Co, said it had already committed to spending $12 billion on a facility in the Phoenix area.<br><br>The additional funds announced Tuesday will be used to build its second US facility, which will begin producing chips in 2026 and its third facility, which will begin production in 2029, the company said.<br><br>TSMC, which makes chips for the US tech giants Apple, Google and Amazon, said it plans to triple its US chip production.<br><br>The additional spend announced Tuesday will be a significant chunk of its capital investments in the coming years, according to the company’s corporate vice chair, who spoke during a Tuesday conference.<br><br>The company said it plans to spend $50 billion between 2022 and 2026, up from its previous commitment of $36.3 billion to $44.2 billion.