PHOENIX, AZ (March 12, 2026) — To further strengthen international partnerships with Taiwan and Japan – two of Arizona’s top trading partners – the State of Arizona, the City of Kaohsiung, Taiwan, and Kumamoto Prefecture, Japan signed a trilateral Memorandum of Understanding (MOU) to strengthen economic collaboration and advance partnerships in semiconductors, talent development, research and development, and global supply chain integration.

The MOU was signed during a ceremony in Phoenix by leaders including Governor Katie Hobbs and Mayor Chen Chi-Mai of Kaohsiung City, Taiwan. Sandra Watson, President and CEO of the Arizona Commerce Authority, Deputy Mayor of Kaohsiung Ta-Sheng Lo, and Vice Governor Shingi Takeuchi of Kumamoto Prefecture, Japan were witnesses to the MOU signing ceremony, and Governor Takashi Kimura of Kumamoto Prefecture joined virtually. The signing reflects the growing collaboration among regions that have become central hubs in the global semiconductor ecosystem.

The three regions share a unique connection through the presence and expansion of TSMC, which has invested $165 billion in their Arizona operations, and the company’s leading-edge semiconductor process also at manufacturing facilities in Kaohsiung and Kumamoto, showcasing TSMC’s leadership as an anchor in the global semiconductor supply chain and each government’s role in supporting this advanced technology.

The MOU aims to accelerate collaboration across government, industry, and academia to support continued growth in advanced manufacturing and emerging technologies.

“This agreement formalizes the framework that will allow our three regions to deepen our partnership, advance innovation, and ensure a resilient and secure semiconductor supply chain for the future,” said Governor Katie Hobbs. “We will create new opportunities for collaboration, economic growth, and technological leadership.”

Key initiatives under the MOU include:

• Strengthening semiconductor supply chain integration and coordination across Arizona, Kaohsiung, and Kumamoto
• Advancing research and development collaboration between universities, industry partners, and innovation institutions
• Promoting academic exchange and workforce development programs to support the next generation of semiconductor talent
• Organizing joint delegations, forums, and industry engagements to deepen partnerships and investment opportunities

Through this collaboration, the three regions will support innovation and economic growth through complementary strengths including leading semiconductor manufacturing, advanced packaging, research institutions, and skilled workforce development programs.

“Arizona is proud to share deep and growing relationships with both Taiwan and Japan – two of our state’s most important international partners,” said Sandra Watson, President & CEO of the Arizona Commerce Authority. “Today’s agreement reflects the strong interconnectivity between our three economies – forming a global supply chain for the world’s most important technologies.”

“TSMC’s chips represent far more than just the world’s most advanced technology; they are symbols of freedom for the democratic world," said Kaohsiung Mayor Chen Chi-mai. “Through TSMC’s presence in our respective regions, we have forged an enduring bond between Kaohsiung, Arizona, and Kumamoto. Today’s MOU officially establishes a vital ‘Semiconductor Strategic Triangle’ in the Indo-Pacific. This partnership will allow us to deepen cooperation in industry, technology, and talent development, while strengthening supply chain resilience and solidifying the strategic alliance between Taiwan, the United States, and Japan.”

“We believe that by signing this MOU, the three regions—Kumamoto Prefecture, Arizona, and Kaohsiung City—can demonstrate our presence to the world as core hubs for the semiconductor industry,” said Governor Takashi Kimura of Kumamoto Prefecture. “We are confident that our collaboration will generate new value, supporting future industries and contributing to the stability and development of the global semiconductor supply chain.”

Arizona has emerged as one of the world’s fastest-growing semiconductor hubs. Since 2020, the state has attracted more than $214 billion in semiconductor investments and over 70 industry expansions, creating roughly 25,000 new high-quality jobs, establishing one of the most complete semiconductor ecosystems in North America.

Similarly, Kaohsiung has become a critical center for semiconductor manufacturing and advanced industry development in Taiwan, while Kumamoto Prefecture continues to play an increasingly important role in Japan’s semiconductor resurgence through major investments and supply chain expansion.

This agreement builds on growing economic ties between Arizona, Taiwan, and Japan, as well as increasing collaboration between industry, universities, and government partners supporting semiconductor innovation and workforce development.

Media Contact

Alyssa Tufts, Arizona Commerce Authority, [email protected]

About the Arizona Commerce Authority
The Arizona Commerce Authority (ACA) is the state's leading economic development organization with a streamlined mission to grow and strengthen Arizona's economy. The ACA uses a three-pronged approach to advance the overall economy: attract, expand, create - attract out-of-state companies to establish operations in Arizona; work with existing companies to expand their business in Arizona and beyond; and help entrepreneurs create new Arizona businesses in targeted industries. For more information, please visit azcommerce.com and follow the ACA on X @azcommerce.