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Achieving the Trump administration’s onshoring goals will prove difficult. Over the course of decades, Taiwan has built and developed an ecosystem of critical supplier networks and human capital, which will be hard to replicate in the United States. In addition, manufacturing costs in the United States are higher than they are in Taiwan. TSMC has noted that talent shortages, equipment maintenance issues, and labor laws have presented challenges for its operations in Arizona. Nonetheless, TSMC recently announced that it intends to build up to 12 fabs in Arizona, up from the initial six announced in early 2025. The company is also introducing its advanced 2nm process a year earlier than planned.