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Taiwan’s TSMC expected to build facility in Kaohsiung

New fab expected to produce 7-nm, 6-nm process chips

TSMC logo (Reuters photo)

TSMC logo (Reuters photo)

TAIPEI (Taiwan News) — Taiwan Semiconductor Manufacturing Co (TSMC) is planning to build an advanced fab in the southern city of Kaohsiung.

The TSMC facility is expected to produce 7-nm and 6-nm chips, which are currently used for mobile, computing, and graphics processors for AMD, Nvidia, and MediaTek, sources told Nikkei. Construction could start as soon as next year, although the facility will not be up and running until 2023 or 2024, sources said.

Nikkei said the new Kaohsiung fab will help meet an increase in demand due to outsourcing orders from Intel, in addition to new clients such as Tesla, Amazon, and Google.

TSMC currently produces its most advanced 7-nm chips at its facility in central Taichung. Sources told the outlet that even though new equipment is being installed at the plant, they are running out of room, hence the need to find another location to build extra capacity.

The world’s largest contract chipmaker told Nikkei that it views Taiwan as its main expansion hub.

Last week, the Economic Daily News reported that TSMC was planning to build a 7-nm fab in Kaohsiung’s Linyuan District. The report said that TSMC is looking at a 169.5-hectare plot of land that used to be a CPC Corp. Taiwan naphtha cracking complex.

Updated : 2021-09-28 07:04 GMT+08:00