Taiwan Semiconductor Manufacturing Co. is set to undertake its most ambitious expansion yet, with plans to build or continue construction of 10 facilities globally in 2025, marking an unprecedented scale of simultaneous development in the semiconductor industry.
Seven of these facilities will be located in Taiwan, including four plants dedicated to 2-nanometer technology in Hsinchu and Kaohsiung. The company is also expanding its advanced packaging capabilities with three facilities, including the newly acquired AP8 plant from Innolux in the Southern Taiwan Science Park.
Overseas expansion includes a second fab in Kumamoto, Japan, scheduled to break ground in Q1 2025, a second facility at its Arizona site, and continued construction of its specialized process facility in Dresden, Germany.
Industry analysts project TSMC’s 2025 capital expenditure could reach between $34 billion and $38 billion, potentially surpassing its previous record of $36.3 billion set in 2022. The company has not officially confirmed these estimates.
This expansion represents a significant escalation from TSMC’s previous construction pace of five facilities annually in 2022-2023, and seven planned for 2024.
