Chiayi Plant To Be TSMC's Largest Packaging and Testing Facility
TSMC’s new plant in Chiayi is expected to become the company’s largest advanced packaging and testing facility. With operations set to begin in 2028, the company says the plant represents its continued commitment to investment in Taiwan.
TSMC Plans Major Advanced Packaging Plant in Chiayi
REPORTER:
TSMC’s new plant in Chiayi is expected to become the company’s largest advanced packaging and testing facility. With operations set to begin in 2028, the company says the plant represents its continued commitment and investment in Taiwan.
REPORTER:
And this new plant will soon have more like it. The company announced at its Quarter-4 earnings call last week new projects in Hsinchu and Kaohsiung Science Parks.
C.C. Wei (TSMC CEO):
In Taiwan, with support from the Taiwan government, we are preparing multiple phases of 2-nanometers fabs in both Hsinchu and Kaohsiung Science Parks. We will continue to invest in leading edge and advanced packaging facilities in Taiwan over the next few years.
REPORTER:
Industry analysts say the Chiayi plant will connect the S-corridor, a strategic industrial belt forming an “S” shape down southern Taiwan. It clusters semiconductor-related facilities—from R&D and wafer fabs to advanced packaging, testing, and supporting infrastructure.
REPORTER:
The Chiayi plant has a very large footprint. It will be able to accommodate an additional six new back-end packaging plants. Next-generation technology, R&D implementation and mass production will also take place here at the Chiayi plant.
REPORTER:
Some speculation arose last year that TSMC halted construction on the new Chiayi fab so it could allocate more resources for expansion projects in Arizona.
REPORTER:
And with a new US-Taiwan trade deal, including a pledge by TSMC to expand its footprint in Arizona to about 12 facilities, those concerns are re-emerging.
REPORTER:
Undeniably, with TSMC's increased investment in its US facilities and the subsequent relocation of its supply chain to North America, the negative impact on the domestic semiconductor industry and even the domestic economy in the medium-to-long-term is something we need to pay close attention to.
REPORTER:
However, TSMC has reassured the public that its investment plans in Taiwan remain unchanged, and, despite expanding globally, this new plant will demonstrate it’s still centered on Taiwan.
