Taiwan's semiconductor manufacturing sector is rapidly advancing, with TSMC and ASE Technology leading significant expansions in 2nm fabrication and advanced packaging. TSMC is set to hold a tool-in ceremony for its first 2nm fab in Kaohsiung's Nanzih District on November 26, marking the near-completion of its P1 fab. 

Key equipment installations are expected to start on December 1, according to Liberty Times. The Kaohsiung site, envisioned as TSMC's primary 2nm production base, is anticipated to include several additional facilities (P2, P3, P4, and P5), with plans to produce TSMC's advanced A16 chips.

In parallel, ASE Technology announced on October 28 that its subsidiary Siliconware Precision Industries has invested approximately NTD 419 million to secure land-use rights at Erlin Science Park, with the intent to expand CoWoS (Chip-on-Wafer-on-Substrate) packaging capacity to meet the rising demand.

Industry sources indicate that ASE's expansion at Erlin is essential as TSMC, despite plans to double CoWoS capacity by year-end, continues to face packaging capacity constraints due to surging demand from sectors reliant on AI and advanced computing technologies.

As TSMC scales its 2nm production and ASE strengthens its advanced packaging capabilities, both companies are strategically positioning themselves to support Taiwan's competitive edge in semiconductor technology.