TSMC announced production at its upcoming Arizona plant will be delayed to 2025 as a result of labor shortages.

Reports surfaced in early July that TSMC was struggling to complete the Arizona plant on time, even sending in workers from Taiwan to help get the project back on track. According to Nikkei, it appears the issues have led the company to delay production from 2024 to 2025.

“We are encountering certain challenges, as there is an insufficient amount of skilled workers with the specialized expertise required for equipment installation in a semiconductor-grade facility,” said TSMC Chairman Mark Liu.

“We expect the production schedule of N4 process technology to be pushed out to 2025,” he added, referencing the company’ 4nm production.