In a decision that was almost certainly influenced by the recent tariff chaos, NVIDIA is going to start manufacturing some of its AI chips and supercomputers in the United States. The company has announced that it is building and testing its Blackwell chips in Arizona, and plans to manufacture its AI supercomputers – likely the recently announced DGX Spark and DGX Station – in Texas.
NVIDIA says that TSMC already manufactures Blackwell chips in Phoenix, Arizona, and the company is working with Amkor and SPIL for testing and packaging. In Texas, the company’s supercomputers will be manufactured by Foxconn in Houston and Wistron in Dallas. “Mass production at both fabs is expected to begin in the next 12-15 months,” NVIDIA says.
It is not entirely clear what version of NVIDIA Blackwell chips TSMC will produce, but the chipmaker plans to be ready for a wide range of production for American technology companies, including Apple and Qualcomm. TSMC received $6.6 billion in CHIPS Act funding during the Biden administration and pledged to spend another $100 billion to expand its US operations in March.
NVIDIA has benefited the most from the current artificial intelligence boom and has been severely impacted by the latest round of tariffs announced by President Donald Trump. As of April 11, some of these tariffs have been “suspended” for computers and chips, which has saved companies like NVIDIA from some financial hardship, but moving some production to the US is a much more reliable way to avoid an ongoing trade war.
