Taiwan Semiconductor Manufacturing Co. started moving equipment into its new 2-nanometer facility in Kaohsiung, marking a significant expansion of its most advanced chip production capabilities in southern Taiwan.
The facility, TSMC’s first 12-inch wafer plant in Kaohsiung, is beginning equipment installation more than six months ahead of the original schedule. The plant is set to commence mass production in 2025, joining forces with the company’s Baoshan facility in Hsinchu to manufacture the world’s most advanced chips.
The Kaohsiung site represents a major shift in TSMC’s manufacturing strategy, initially planned for mature process nodes before the board approved its conversion to 2nm technology in August 2023. The accelerated timeline reflects TSMC’s aggressive push to maintain its technological edge in the semiconductor industry.
Kaohsiung Mayor Chen Chi-mai has revealed plans for five TSMC facilities in the region, with P1 plant starting production next year, P2 under construction, P3 beginning construction in October, and P4 and P5 in the permit application phase.
TSMC Chairman Mark Liu noted stronger customer interest in 2nm technology compared to 3nm, with increasing demand driven by high-performance computing applications and chiplet designs. The company expects higher capacity utilization for its 2nm process than its current 3nm production.
