TSMC Expands U.S. Packaging Deal With Amkor

According to a joint announcement on June 17, Taiwan Semiconductor Manufacturing Company (TSMC) and Amkor Technology revealed a landmark 10-year cooperation agreement aimed at strengthening an end-to-end semiconductor manufacturing ecosystem in the United States.

TSMC, the world’s largest contract chipmaker, and Amkor Technology, one of the leading global semiconductor assembly and test service providers, will collaborate on advanced packaging and testing services to support growing demand for high-performance chips.

This long-term agreement marks the first time TSMC has publicly disclosed a decade-long partnership of this scale with a manufacturing collaborator, drawing significant industry attention. Analysts note that the move reflects TSMC’s strategic effort to extend its manufacturing footprint in the United States and strengthen an integrated “U.S. semiconductor supply chain” from wafer fabrication to advanced packaging and testing.

Under the agreement, Amkor is expected to provide packaging and testing capacity to support TSMC’s customers, particularly those served by TSMC’s advanced fabrication facilities in Phoenix, Arizona. The partnership will also align closely with Amkor’s planned new facility in Peoria, Arizona, which is designed to offer advanced packaging and test services in proximity to TSMC’s U.S. production sites.

TSMC emphasized that it has maintained a long-standing collaboration with Amkor, and both companies will jointly determine the adoption of advanced packaging technologies, including integrated fan-out (InFO) and CoWoS solutions, to meet customer capacity and performance requirements.

By integrating front-end wafer manufacturing in Phoenix with nearby back-end packaging and testing operations, the two companies aim to significantly shorten overall production cycles and improve supply chain efficiency for U.S.-based semiconductor customers.

TSMC Senior Vice President of Business Development and Global Sales and Co-Chief Operating Officer Kevin Zhang stated that the long-term collaboration with Amkor has been well established globally, and expanding this partnership in the United States will further enhance the ability to serve customers efficiently and at scale.

Amkor CEO Kevin Engel noted that the collaboration will enable customers to access a complete U.S.-based semiconductor manufacturing flow, from advanced silicon wafer production to final packaging and testing. He added that the partnership is expected to strengthen the advanced packaging ecosystem in Arizona and accelerate investment in the broader U.S. semiconductor supply chain.