TAIPEI (Taiwan News) — A subsidiary of Taiwan Semiconductor Manufacturing Co. (TSMC) said Tuesday (April 19) it will begin construction for a new chip plant in Japan's Kumamoto Prefecture on Thursday (April 21).

The chip fab is being built through a joint-venture between TSMC, Sony Semiconductor Solutions Corporation (SSS), and Denso called Japan Advanced Semiconductor Manufacturing Inc. (JASM). JASM and the Japanese government will invest a total of US$8.6 billion (NT$252 billion) into the project.

The new chip facility is being built in an industrial sector in the town of Kikuyo, according to Kyodo News. JASM said commercial production is slated to begin in December 2024.

The facility will have two production lines, one that produces 12 and 16 nanometer semiconductors, and one that will manufacture 22 and 28 nm ones. The plant will have a monthly capacity of 55,000 12-inch wafers.

The Kumamoto plant is expected to produce chips used in image sensors and microcontrollers. TSMC previously said the fab should create around 1,700 jobs.