Production of AMD CPU chip to start ‘soon’ at TSMC plant in Arizona

Taipei — Advanced Micro Devices (AMD) said on Tuesday its key processor chips would soon be made at TSMC’s new production site in Arizona, marking the first time that its products will be manufactured in the US.

Though AMD’s plans predate US President Donald Trump’s return to office, tech companies’ efforts to diversify their supply chains have taken on added significance given Trump’s escalating tariff war.

His administration is investigating whether imports of semiconductors threaten national security, which could be a precursor to slapping tariffs on those products.

“Our new fifth-generation EPYC is doing very well, so we’re ready to start production,” AMD CEO Lisa Su told reporters in Taipei, referring to the company’s central processing unit (CPU) for data centres.

Until now, the US company’s products have been made at contract chip manufacturer TSMC’s facilities in Taiwan.

In addition to AMD, Apple and Nvidia have said some of their chips are being produced at TSMC’s Arizona plant.

Su noted AMD had completed an acquisition of ZT Systems, a leading supplier of AI servers in the US, which expands its US footprint.

“We want to have a very resilient supply chain, so Taiwan continues to be a very important part of that supply chain, but the US is also going to be important and we’re expanding our work there, including our work with TSMC and other key supply chain partners,” Su said.

Su said told reporters in Taipei that because the company has a lot of manufacturing partners, AMD does expect to “find a strategic partner for the ZT manufacturing company”.

She did not elaborate.

More broadly, US manufacturing was “of course” a key priority for AMD as a US company, she added.

Reuters