-advertisement-

Taiwan’s world-leading semiconductor manufacturer TSMC starts construction on its new factory in Dresden, Germany on August 20. German Chancellor Olaf Scholz attends and delivers a speech at the commencement ceremony, along with TSMC’s Chairman and CEO C.C. Wei (魏哲家).

The Dresden plant is formally known as European Semiconductor Manufacturing Corp. (ESMC), a joint venture of 10 billion euros between TSMC and three top chipmaking companies Robert Bosch, Infineon, and NXP. TSMC holds a 70% stake with the other three investors each holding 10%. Half of the investment costs will be borne by taxpayers in Germany, as the deal includes a state subsidy package.

The new TSMC facility in Dresden, Germany, is anticipated to use 28/22nm planar CMOS and 16/12nm FinFET process, with a monthly production capacity of approximately 40k 12-inch wafers.

Germany expects the project to boost its domestic semiconductor industry, while Saxony anticipates thousands of employment opportunities as a result. As per the CEO of the trade association Silicon Saxony, Frank Bösenberg, the construction of TSMC's factory will create around 6,000 jobs over the course of several years. 

TSMC is capitalizing on the surge in artificial intelligence (AI) which necessitates powerful chips due to high computing demands. To reduce dependency on Asian imports, chip companies are heavily investing in the US and Europe. However, comprehensive capacity expansion is a time-consuming process with production in Dresden slated to commence in 2027, according to a TSMC statement from August 2023.

Editor：Vicky

▼▼▼

Chip company Inuitive laying off 20% of workforce as CEO retires

South Korean AI chip makers Rebellions and Sapeon agree to merge

Chipmaker Texas Instruments to receive up to $1.6 bln in funding from US

TSMC acquires Innolux's plant in southern Taiwan to expand advanced packaging capacity

Multiple Semiconductor Manufacturing Projects Delayed in the U.S.

Nanya Technology faces production halt and losses due to power outage