TAIPEI (TVBS News) — Taiwan Semiconductor Manufacturing Company (TSMC, 台積電) plans to expand its production facilities in Kaohsiung, Tainan, and Taichung over the next three years, the head of the National Development Council's (NDC, 國家發展委員會) said Thursday (Nov. 21), stressing that the government will ensure water and electricity supply for these projects.
Economic Minister J. W. Kuo (郭智輝) indicated a day earlier that TSMC might build a new plant annually in Taiwan over the next decade. Kuomintang (KMT, 國民黨) Legislator Yeh Yuan-chih (葉元之) inquired about TSMC's plans in the Legislative Yuan (立法院), and NDC Minister Liu Chin-ching (劉鏡清) confirmed the three-city expansion.
Yeh also expressed concerns about the US$6.6 billion subsidy from the United States Department of Commerce for TSMC's Arizona plant. Liu mentioned that while 3-nanometer technology will advance in the U.S., the 2-nanometer process will remain in Taiwan. Regarding the A16 process, Liu noted that due to the product part generally entering the 3-nanometer process, it is possible to move to the U.S.
The minister attributed these decisions to political factors, stating that despite higher U.S. costs, TSMC will fulfill orders if buyers accept them. Yeh questioned the authenticity of the December completion ceremony for TSMC's U.S. plant. Liu responded that he had not received related information and advised relying on TSMC's statements.
The minister added that he was only notified of attending a TSMC board meeting in the U.S. on Feb. 10, 2025.