TAIPEI (Taiwan News) — Japan’s JSR plans to build its first semiconductor materials plant in Taiwan to supply photoresist to TSMC, Nikkei Asia reported Tuesday.
The chemical maker aims to invest tens of millions of US dollars in the facility, targeting operations as early as 2028. It has established a joint venture with a local partner and will collaborate with TSMC on developing advanced photoresist materials.
Photoresist is a key material used to form circuit patterns on silicon wafers. Japanese companies dominate about 80% of the global market, with JSR ranking as the second-largest supplier.
JSR said building a production base in Taiwan will speed up development cycles and improve collaboration with TSMC, according to Nikkei Asia. Currently, samples must be shipped from Japan, a process that can take weeks and slow product development.
The company may also expand production at the site to include other semiconductor materials, such as abrasives used to polish wafers. This would further integrate its supply chain with Taiwan’s semiconductor ecosystem.
Rivals Tokyo Ohka Kogyo and Shin-Etsu Chemical already operate in Taiwan, giving them closer proximity to TSMC, per Nikkei Asia. JSR’s move is seen as an effort to level the playing field and deepen cooperation with the world’s leading chipmaker.
JSR said it aims to strengthen its position in advanced, high-value materials by involving TSMC engineers earlier in the development process. Closer collaboration is expected to help secure long-term orders.
The expansion comes as Chinese competitors ramp up research and development with government support. While JSR said Chinese firms pose a growing threat, JSR senior officer Toru Kimura said he believes they will take time to catch up in advanced technologies.
