MediaTek reportedly mulling US chip production — could use TSMC's Arizona fab to avoid tariff fallout

MediaTek is considering producing chips in the U.S. through TSMC's Arizona fab to meet customer demands for locally made components and potentially avoid tariffs. This move would make MediaTek the first non-American company to use TSMC's Arizona site for chip production. The plan targets automotive parts and chips for regulated applications to cater to American clients preferring domestic production. However, the specific timeline and chip types for production at TSMC's Arizona fab are still undisclosed, with considerations around compliance with automotive quality standards. If TSMC Arizona does not adopt automotive-grade flows, MediaTek may need to rely on TSMC's Taiwan fabs for certain automotive-grade chips.