TSMC to make 3nm chips at second Japan plant, investment over USD 23 billion

TSMC plans 3nm semiconductor manufacturing at second Japan factory, investment to exceed USD 23 billion

Tokyo, October 20

In a post on X, TSMC's Japan account thanked the Japanese government for its support for the second factory, saying production and investment plans would be implemented in phases based on market demand and would proceed on the premise of government support.

"Specific production and investment plans will be implemented in phases in response to market demand," the company said.

TSMC said the facility would help it meet growing demand for advanced chips driven by artificial intelligence (AI), while providing technology to customers in Japan and other markets.

"Moving forward, JASM will continue to work alongside our partners to provide cutting-edge technology to customers in Japan and around the world, using innovative green manufacturing technologies that are environmentally considerate, in order to meet the strong demand in the AI era," the company said.

JASM is a joint venture established by TSMC and its partners to operate semiconductor manufacturing facilities in Kumamoto, Japan. The company's second factory is part of TSMC's broader manufacturing presence in the country, with the planned use of 3nm technology marking a move towards more advanced chip production.

In August, TSMC and Sony Semiconductor Solutions agreed to establish another joint venture, Advanced Vision Semiconductor Manufacturing Corp., in Kumamoto to develop and manufacture next-generation image sensors. Commercial production at the facility is scheduled to begin in 2029, according to a report by Focus Taiwan.

The latest announcement comes as TSMC reports strong growth in its business amid rising demand for advanced semiconductor technologies. The company reported a 68.7 per cent year-on-year increase in net profit to USD 23.86 billion in the July-September quarter, while revenue rose 50.9 per cent to USD 46.72 billion.

TSMC said the JASM investment and production plans would be carried out in stages in response to market demand, with government support remaining a condition for proceeding.

— ANI