Taiwan’s TSMC eyes first chip plant in Japan – EAST AUTO NEWS

Taiwan’s TSMC eyes first chip plant in Japan

Taiwan’s key chip maker is contemplating Japanese manufacturing near Sony

Taiwan Semiconductor Manufacturing Firm is contemplating constructing its first chipmaking plant in Japan as the federal government there’s urging firms to develop native semiconductor manufacturing, Nikkei reported.

TSMC is evaluating plans to construct a plant in Kumamoto Prefecture, in western Japan, 4 sources instructed Nikkei Asia. The manufacturing facility can be close to one in all key buyer Sony’s crops and assist meet rising demand for picture sensors, automotive microcontrollers and different chips, the sources stated.

“TSMC is contemplating a proposal by the Japanese authorities to construct a complicated chip manufacturing facility in Japan, although it has not but absolutely dedicated and finalised [the plan],” one of many sources instructed Nikkei.

The plant can be the Taiwanese firm’s first chip making facility in Japan whose firms accounted for 4.7% of TSMC’s income in 2020. It could mark a big departure from the corporate’s many years lengthy technique of sustaining most of its manufacturing in its dwelling market.

TSMC is constructing a complicated chip plant within the US in response to stress from Washington, which, like Tokyo, has been urging firms to construct semiconductor amenities domestically, Nikkei famous. Round 62% of TSMC’s income got here from North American purchasers in 2020.

In keeping with the tentative plan for the Kumamoto facility, TSMC would construct a 12-inch wafer plant in a position to change between completely different course of applied sciences, together with 28-nanometer and 16-nanometer manufacturing tech.

“TSMC doesn’t need to persist with just one course of know-how … as lots of the instruments are shared,” one of many sources instructed Nikkei Asia.

If constructed, the plant can be close to Sony’s manufacturing facility in Kumamoto, based on the 4 Nikkei sources “aware of the matter”. Nonetheless, the Taiwanese chipmaker will possible personal and run the manufacturing facility independently to keep away from any conflicts of curiosity, two sources stated.

“One of many key causes for TSMC to choose this location is as a result of its giant Japanese consumer Sony has a plant there,” an executive-level supply aware of the plans instructed Nikkei.

Japanese information outlet Nikkan Kogyo Shimbun first reported final month TSMC was contemplating a chip facility in Japan.

TSMC declined to remark to Nikkei.

Taiwan’s TSMC eyes first chip plant in Japan – EAST AUTO NEWS


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