Taiwan’s TSMC Kumamoto Factory Opens in Japan with Cutting-Edge Technologies

On February 24th, according to reports by the media, Taiwan Semiconductor Manufacturing Company (TSMC) officially inaugurated its Kumamoto plant, which will become Japan’s most advanced logic wafer fab after starting mass production by the end of this year.

The construction of TSMC’s Kumamoto facility began in April 2022 and was completed rapidly within 20 months, aiming to commence production in the fourth quarter using 12nm, 16nm, 22nm, and 28nm processes.

Moreover, the factory is set to receive the highest amount of subsidy from the Japanese government, totaling up to 476 billion Japanese yen (approximately 22.8 billion Chinese yuan), with the second factory eligible for around 730 billion Japanese yen (about 34.967 billion Chinese yuan) in financial support.

In February of this year, TSMC announced further expansion in Kumamoto, starting the construction of a second wafer fab by the end of 2024, targeting production to begin by the end of 2027, offering 6nm, 7nm, and 40nm process technologies as well.

As reported by Gartner, the Kumamoto plant in Japan is expected to achieve a total capacity of 40,000 to 50,000 wafers per month, primarily focusing on 22/28nm processes with a small portion allocated to 12/16nm, catering to the upcoming mainline processes of Kumamoto Fab 2.

In 2023, the global semiconductor foundry revenue reached approximately 117.47 billion USD, with TSMC accounting for around 60% of it. The projections for 2024 estimate a revenue of about 131.65 billion USD, increasing TSMC’s share to 62%.