TSMC Accelerates Global Expansion Plans

The Chairman of TSMC, C.C. Wei, has announced that the company is expediting its efforts to grow worldwide. They are set to commence the construction of their third and fourth fabs in Arizona later this year. This decision follows the completion of the second Arizona plant, with the first fab beginning volume production in Q4 2024. TSMC aims to open its second factory approximately six months ahead of schedule in response to rising customer demand. The first factory will focus on producing 4 nm chips, while the second will target 3 nm chips. The newer facilities will be dedicated to even smaller N2 and A16 nodes. This rapid expansion is part of TSMC's additional $100 billion investment to establish five more semiconductor plants and a research center in the U.S. Overall, TSMC plans to invest $165 billion in the United States.

Aside from its operations in the U.S., TSMC is continuing to advance its global manufacturing initiatives. Wei has dispelled rumors of setbacks at the upcoming Kumamoto plant in Japan. He has confirmed that the first fab at the site commenced mass production in late 2024, achieving impressive yields. Plans are in place to begin construction of a second Japanese facility once the necessary infrastructure is in place. TSMC's expansion in Dresden, Europe, is also progressing smoothly, with strong support from both the European Commission and the German federal government. Ground was broken at the Dresden site in August 2024, marking Europe's first FinFET-capable dedicated foundry operation.