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TSMC Bolsters Kaohsiung Expansion as Chip Demand Surges

Kaohsiung preps infrastructure to support TSMC's advanced semiconductor production
Taiwan
t 2330.TW Blue Chip 150 OM 60 Semicon 75 Tech 350
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Taiwan Semiconductor Manufacturing Co. (TSMC) continues its strategic expansion in Kaohsiung, focusing on developing sub-2-nanometer technologies amid increasing global chip demand and the rise of AI applications. The Kaohsiung City Government is proactively securing resources for TSMC’s expansion, including land, water, and electricity, to support next-generation technology production.

TSMC’s plans include the construction of three 2-nanometer wafer fabs in Kaohsiung Metropolitan Park, with the first expected to start mass production in 2025. This expansion aims to keep TSMC at the forefront of semiconductor innovation, with potential applications in high-performance computing, smart devices, and autonomous vehicles. The new factories are set to deliver higher output values than the existing 3-nanometer processes.

The Kaohsiung City Government has made provisions to meet TSMC’s infrastructure needs, including recycled water and green power, crucial for sub-2-nanometer processes. Despite ongoing challenges, such as cultural relics affecting construction at Taibao Farm, TSMC remains committed to its timeline, adjusting plans to mitigate delays.

Amidst industry rumors, TSMC maintains discretion regarding its Emmy process layout and further expansion plans. However, local government support, led by Mayor Chen Chi-mai, ensures that TSMC has a robust foundation for its ambitious growth trajectory, targeting additional fab developments and exploring opportunities in advanced packaging technologies.

 

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