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TSMC's New Tainan Fab Targets 2028 Finish to Fuel AI Chip Boom

TSMC has submitted plans for a new fabrication plant in Tainan's science park, with construction set to begin this year. The company targets 2028 for project completion and obtaining occupancy permits, pending environmental review. The facility is a key part of TSMC's aggressive expansion to meet soaring demand for artificial intelligence semiconductors. Once operational, the fab is expected to generate approximately 1,400 direct jobs and support hundreds more in the supply chain.

Key Points: TSMC Aims for 2028 Completion of New Tainan Chip Fab

  • New fab targets 2028 completion
  • Part of AI-driven capacity expansion
  • Will create about 1,400 direct jobs
  • Site plan includes significant green space
  • Process technology details not yet specified
2 min read

TSMC targets 2028 completion for new Tainan fab amid AI-driven expansion

TSMC plans to complete a new fabrication plant in Tainan by 2028, expanding capacity to meet surging global demand for AI chips and creating thousands of jobs.

"project completion and occupancy permits slated for 2028 - TSMC planning documents"

Taipei, March 5

Taiwan Semiconductor Manufacturing Co. aims to complete a new fabrication plant in Tainan by 2028 as part of an aggressive capacity expansion driven by global demand for artificial intelligence chips. According to a report by Focus Taiwan, the world's largest contract chipmaker submitted development proposals for public review on February 12 as part of the mandatory environmental impact assessment process.

The project is situated on a 15.46-hectare site within Development Block A of the Tainan Science Park. TSMC planning documents indicate that construction is expected to begin later this year. The company expects "project completion and occupancy permits slated for 2028" following the conclusion of the environmental review phase.

A committee meeting to discuss the assessment is scheduled for March 26, following the end of a 20-day public notice period on Wednesday.

The facility layout allocates approximately 8 hectares for production facilities and related equipment. An additional 0.7 hectares will house administrative buildings, offices, meeting rooms, a cafeteria, and parking areas. The company designated 3.2 hectares as green space, while the remaining 3.56 hectares serve as infrastructure for roads and disaster prevention.

"Roughly 3.2 hectares will be set aside as green space, with the remaining 3.56 hectares designated for roads and disaster prevention infrastructure," the report noted.

"TSMC did not specify whether the Tainan facility will produce chips using its 2-nanometer (2nm) process technology. The company is already building 2nm fabs in Hsinchu and Kaohsiung and planning an A14 process facility in Taichung," the report said.

The expansion into Tainan follows a broader trend of increasing domestic manufacturing capabilities to meet the requirements of the AI sector.

Once operational, the new fab is expected to create "about 1,400 direct jobs and support around 500 additional positions for contractors and supply chain partners," the report attributed TSMC.

- ANI

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Reader Comments

P
Priya S
Interesting to see the detailed planning with green spaces and disaster prevention. While the focus is on AI chips, I hope the environmental impact assessment is thorough. Sustainable manufacturing is crucial, even for such critical infrastructure.
R
Rohit P
~1900 jobs is a good number. This is the kind of high-tech manufacturing and skilled employment India should be aggressively chasing. Our semiconductor policy needs to deliver concrete results like this, not just announcements.
S
Sarah B
The timeline to 2028 shows how long and complex building these advanced fabs is. It puts into perspective the challenges for any country, including India, trying to build up domestic chipmaking capacity. It's a marathon, not a sprint.
V
Vikram M
TSMC's dominance is clear. They're spreading their latest nodes (2nm, A14) across multiple locations in Taiwan. This concentration of cutting-edge tech in one region is a strategic risk the world has acknowledged. Diversification is key.
K
Karthik V
As someone in tech, all this AI chip capacity can't come soon enough! The demand is insane. Hopefully, by 2028, some of this advanced packaging or mature node work can also shift to facilities in India through partnerships. Jai Hind!

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