Taiwan Semiconductor Manufacturing Company (TSMC), the world’s leading contract chipmaker, has officially commenced construction on the second factory building for its subsidiary, Japan Advanced Semiconductor Manufacturing, Inc. (JASM), located in Kikuyo Town, Kumamoto Prefecture. This groundbreaking marks a significant commitment to Japan's semiconductor supply chain, even as the start of construction was slightly delayed from the initial schedule. TSMC’s Chairman and CEO confirmed the commencement of the building phase, signaling full speed ahead for the project.
The first JASM fab is a cornerstone of this investment, scheduled to begin full-scale operation in December 2024. Its primary focus will be the production of logic wafers, crucial components particularly for Sony’s image sensors, utilizing mature-to-specialty process technologies (including 12, 16, 22, and 28 nanometer nodes). The strategic addition of a second fab is set to significantly enhance JASM's overall capacity and process capability. The second facility is expected to concentrate on more advanced nodes, such as 7-nanometer and 6-nanometer technologies, with mass production targeted to begin by the end of 2027. This expansion is designed to meet the rising demand for chips across automotive, industrial, and high-performance computing (HPC) applications in the region and globally.
TSMC’s aggressive global footprint expansion is underscored by its robust capital expenditure plans. For the full year 2025, the company has projected a substantial capital expenditure of 40 billion to 42 billion U.S. dollars. This massive investment is strategically allocated to maintain TSMC's technological lead, with a significant portion dedicated to advanced process technologies. The investment strategy extends far beyond Japan, notably including a major push in the United States.
In Arizona, TSMC's ambitious project is moving forward rapidly. The building for the second front-end fabrication plant (Fab) has now been completed, with the company actively working to accelerate the mass production timeline. The first Arizona fab is already ramping up production of 4-nanometer chips. The second fab, which will focus on more advanced 3-nanometer and 2-nanometer technologies, is now targeting volume production by 2028. This multi-continent investment strategy solidifies TSMC’s role as the indispensable partner in the global semiconductor ecosystem, ensuring supply chain resilience and meeting the ever-growing demand for advanced computing power.
