TP-Link is making a major pivot to keep its American networking business alive. The California-based company just signed an agreement with contract manufacturer Key Tronic to assemble its upcoming Wi-Fi 8 routers at a facility in Corinth, Mississippi. The move comes as federal regulators and state officials turn up the pressure on foreign-made networking gear.
The regulatory maze and one billion-dollar pledge
The Mississippi assembly deal is a direct response to a Federal Communications Commission rule that banned foreign-made consumer routers from entering the US market without a special waiver. While competitors like Netgear, Asus, and Amazon’s eero quickly secured conditional approvals from federal agencies, TP-Link is still waiting in line for its Wi-Fi 8 lineup.
To win over officials at the FCC, Department of Defense, and Department of Homeland Security, TP-Link pitched a nearly $1 billion investment to build automated domestic manufacturing plants. The company also promised that all onboard software and firmware will be written and stored right here in the US by American engineers.
Supply chain realities and vague guidelines
Even with production moving to Mississippi, TP-Link still faces a tough hardware reality. Speaking with PCMag, TP-Link corporate affairs officer Steve Kovsky explained that raw components must still come from overseas because domestic suppliers simply don’t exist for many parts. Kovsky pointed out that even major US chipmakers like Qualcomm and Broadcom rely on foreign foundries like Taiwan’s TSMC to produce their silicon. That creates a lot of confusion around vague government guidelines that fail to clarify what percentage of a router actually needs to be domestic to pass muster.
Lawsuits and rising router prices
On top of import hurdles, TP-Link is battling lawsuits from state attorneys general, led by Florida Attorney General James Uthmeier, claiming its routers pose national security risks from Chinese state-sponsored hackers. TP-Link strongly denies those claims, stressing that it split off from its former Chinese parent company back in 2024.
If regulators grant conditional waivers, Key Tronic could start assembling TP-Link’s Wi-Fi 8 routers in Mississippi as early as next year. But shifting production stateside won’t come cheap. Next-generation Wi-Fi 8 routers are already hitting pre-order lists in Canada for nearly $700 USD, hinting that domestic assembly could drive retail prices even higher for regular buyers.
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