shine trader limited reports:
TSMC, the global foundry leader, held a legal person briefing on the 14th. Wei Zhejia, President, announced that TSMC will build a special process wafer factory in Japan to provide 22nm and 28nm process capacity, and can obtain subsidies from the Japanese government and support from Japanese customers; It is estimated that the plant will start construction in 2022 and enter the production stage by the end of 2024. He said that this move can better meet the needs of customers, obtain appropriate remuneration from investment, and bring long-term profitable growth to shareholders. At the same time, TSMC can also contact global talents.
Taiwan’s “Central News Agency” said on the 14th that this is a long cherished wish for Japan, which continues to attract TSMC to set up factories. Japanese Minister of economy and industry Hagi Shengtian Guangyi said, “welcome (TSMC) to invest in Japan”; When asked whether Japan’s semiconductor infrastructure could really be prepared for this, he said “from now on”. As Minister of economic security Kobayashi said, TSMC’s establishment in Japan is very important for building a stable semiconductor supply system. Japanese Prime Minister Fumio Kishida also said that it is expected that this move can improve the indispensability and self-discipline of Japan’s semiconductor industry and bring great help to Japan’s economic security. He disclosed that the assistance to TSMC such large-scale private investment will be included in the economic countermeasures, but he did not touch on the specific amount of assistance. Japanese media previously reported that TSMC would cooperate with Sony Group to provide land next to the plant in Kumamoto County for TSMC to build a new plant. The total investment in setting up factories is expected to be 800 billion yen, and the Japanese government may subsidize half under the name of “economic security”.
The news that TSMC set up a factory in Japan aroused heated discussion among netizens on the island. Some netizens were quite disappointed that TSMC did not mention setting up a factory in Kaohsiung and called “wash and sleep in Kaohsiung”. Many people believe that Taiwan is short of water and electricity, which is not conducive to the development of the semiconductor industry. “It’s strange that Taiwan enterprises don’t leave”.
As the global chip shortage intensifies, TSMC expands its plant scale. Last May, the company announced a $12 billion plant in Arizona. According to people familiar with the matter, the first 12 inch wafer factory will be in Phoenix. It is expected to be mass produced in 2024, mainly producing 5-nm process chips, and the local expansion plan is to respond to the requirements of the U.S. government. Some public opinion said frankly that the purpose behind TSMC’s setting up a factory in the United States is not simple, “it may not be that it wants to go, but it feels a little forced by the United States”.
As for TSMC’s setting up factories in Japan, some analysts said that Japan’s huge subsidies to overseas enterprises are unprecedented and are bound to cause huge disputes in Japan; If TSMC gets the subsidy together with the cooperative Japanese enterprises, the dispute can be stopped, but the problem is that TSMC has always set up factories everywhere as a sole proprietorship. The analysis also mentioned that the Biden government held a semiconductor summit in September, requiring the industry to hand over information regarded as trade secrets, such as chip inventory and sales data, and replied before November 8, which was rebounded by the industry; Relatively speaking, the plan to attract TSMC to set up factories in Kumamoto and hope to give priority to the supply of Japanese semiconductor products may not be possible under the sole control of TSMC.
Reprint indicated source：Spark Global Limited information