According to media reports, an economic development organization in the U.S. state of Arizona said Tuesday it has reached an agreement with Taiwan economic development officials aimed at making the state more attractive to Taiwan's semiconductor industry.

The Taiwan-US Alliance (TUSA) signed a memorandum of understanding with the Greater Phoenix Economic Council (GPEC) to bring more of Taiwan's semiconductor industry to the region.

The move comes when TSMC, the world's largest chipmaker, has expressed a desire to build a plant in Phoenix. The Phoenix City Council authorized city officials to negotiate with the chipmaker in November, but details of the agreement, including any potential tax breaks, have not been released.

GPEC Chief Executive Officer Chris Camacho said the organization is working to bring as many TSMC suppliers and other affiliates to the area as possible and also revealed that about 40 companies are currently evaluating investments in Arizona. He said, "We are emerging as the number one choice for the world's largest semiconductor and semiconductor supply chain."