Tokyo Electron Ltd, Asia's largest semiconductor equipment supplier, has opened a new NT$2 billion (US$61.5 million) operations center in Tainan, Taiwan, aimed at expanding its capacity to meet rising demand in the semiconductor industry.

The Taiwan Operations Center is strategically located just minutes from the factories of key clients, including Taiwan Semiconductor Manufacturing Co. (TSMC), and will serve to enhance production efficiency, speed up product releases, and shorten equipment repair times.

The six-floor facility will house a repair center and testing labs, providing customers with one-stop services. Notably, the center can now repair vacuum transpiration robotic arms and ovens used in semiconductor lithography equipment locally, significantly reducing repair turnaround times. Previously, repairs in Japan took about seven months, but now the process can be completed in just one to two months.

The new center is expected to employ up to 1,000 people once fully operational. In addition to its repair services, Tokyo Electron is exploring the possibility of building a more resilient supply chain in Taiwan by sourcing key parts locally.

Tokyo Electron’s expansion in Taiwan reflects the region’s growing importance in the global semiconductor and AI industries. Taiwan now accounts for 13.3% of Tokyo Electron’s total revenue, up from 9.3% the previous year.

At the center's opening ceremony, TSMC Vice President T.S. Chang and representatives from United Microelectronics Co. (UMC) and Winbond Electronics Corp. highlighted the center's importance in strengthening the supply chain and fostering closer collaboration between Taiwan and Japan in the semiconductor sector.

Tokyo Electron aims to continue supporting the ongoing growth of Taiwan's semiconductor market while ensuring faster and more efficient service for its customers.