Business groups predict economic boost with Taiwan chipmaker coming to Phoenix

PHOENIX (3TV/CBS 5) - Gas prices are still high, and so is the cost of groceries, but Arizona’s financial future may soon get a little brighter.

President Biden was in Phoenix on Tuesday to talk about the Taiwan Semiconductor Manufacturing Company making a $40-billion investment in Arizona, with plans to build two chip-making plants in North Phoenix.

Garrick Taylor is a spokesperson with the Arizona Chamber of Commerce who said the development will create at least 20,000 new jobs. “The individuals who work at that site are also going to be home buyers, car buyers- they’ll be buying household appliances and other big-ticket items,” Taylor said. “It will have a positive effect economy-wide.”

When Intel built its first facility in Chandler decades ago, it created a domino effect of development, with new homes, neighborhoods, and businesses popping up around it. The same economic boost is expected around these new chipmaker plants in north Phoenix. “Somebody is going to want to build a restaurant nearby to capture lunch traffic,” Taylor said. “Somebody will want to have a drive-thru for coffee in the morning. These are smaller investments, but they enhance the area’s quality of life.”

Ken Simonson with Associated General Contractors of America said the big announcement in Arizona couldn’t have come at a better time. Even if the national economy and housing market don’t bounce back in 2023, Arizona will be in an excellent position to make it through. “I can’t guarantee that somebody who gets a job building this plant, or working on it will go out and buy a house,” Simonson said. “But it is absolutely supportive and will keep the housing market growing.”

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