Taiwan Semiconductor Manufacturing Co. plans to construct nine new facilities globally this year, accelerating from its previous pace as the world’s largest contract chipmaker expands production capacity for advanced technologies.
TSMC’s Operations Vice President Chang Tsung-sheng announced at the Taiwan Technology Forum that the company will build eight new wafer fabs and one advanced packaging facility in 2025. This marks a significant acceleration from the company’s 2017-2020 average of three new facilities annually and its 2021-2024 average of five.
Chang revealed that Fab 20 in Hsinchu and Fab 22 in Kaohsiung, which broke ground in 2022, will begin producing 2nm chips this year. Meanwhile, Fab 25 in Taichung will commence construction by year-end and is scheduled to produce technology more advanced than 2nm by 2028.
The chipmaker’s global expansion extends beyond Taiwan with facilities in the US and Japan showing yields comparable to domestic plants. TSMC is also significantly ramping up advanced packaging capabilities, forecasting 100% compound annual growth for System-on-Integrated-Chips (SoIC) capacity and about 80% for Chip-on-Wafer-on-Substrate (CoWoS) technology between 2022 and 2026.
TSMC plans to establish five wafer fabs in Kaohsiung to produce 2nm, A16, and future advanced process technologies, further solidifying Taiwan’s position as its manufacturing hub despite overseas expansion.