The foundry provider Taiwan Semiconductor Manufacturing Co. Ltd. (TSMC) said Thursday that it plans to produce 5nm chips at its Arizona plant in the first quarter of 2024.

The chip giant also noted that it does not rule out the possibility of expanding its operations in Arizona.

Industry sources said TSMC is expected to start equipment installation at its 5nm plant in Arizona, USA, as early as mid-2022.

TSMC announced on its official website in May 2020 that they will invest $12 billion to build a chip factory in the U.S. state of Arizona. It would use a 5nm process to foundry chips for customers, with a monthly capacity of 20,000 wafers.