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TSMC will hold a groundbreaking ceremony next month in Dresden, Germany, for its first plant in Europe, the latest milestone as the world's top chipmaker expands its global production footprint. 

The Dresden plant -- formally known as European Semiconductor Manufacturing Corp. (ESMC) -- is scheduled to go into operation by late 2027.

In August last year (2023), TSMC announced a joint venture plan to build a German factory with a total investment of US$11 billion. In addition to TSMC, Infineon, NXP and Bosch each hold 10% equity. The project received a subsidy of 5 billion euros from the German government.

It is understood that TSMC’s German factory will initially use the 22nm process and mainly produce automotive microcontrollers. It may be expanded to produce more advanced chips in the future.

That according to the plan, TSMC's new Dresden factory will initially provide 2,000 jobs. In order to ensure that the factory can be put into operation smoothly in 2027, the city of Dresden is spending 250 million euros to build an industrial-specific water supply system, which will filter water directly from the Elbe River and is completely independent of the existing drinking water pipe network.

TSMC’s global expansion has reached locations in China, the United States, Japan, and Germany, solidifying its goal of being a “long-term and trustworthy provider of technology and capacity.”

Editor：Vicky

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