TAIPEI (TVBS News) — TSMC's NT$1.5 trillion (around US$47.48 billion) investment in Taichung has triggered a major wave of semiconductor supplier relocations to the central Taiwan city, officials announced Tuesday (Feb. 3). Taichung's Economic Development Bureau (經濟發展局), the city government's industrial development agency, confirmed that Taiwan Semiconductor Manufacturing Company (TSMC, 台積電) has attracted key global and domestic suppliers to the region. The ongoing construction of advanced manufacturing facilities has set the stage for a growing semiconductor supply chain in the city.
TSMC broke ground on four 1.4-nanometer advanced manufacturing plants in the region in October, investing a total of NT$1.5 trillion (around US$47.48 billion). The expansion aims to bolster Taichung's industrial competitiveness in the global semiconductor market. The Economic Development Bureau noted that registered factories in Taichung reached over 19,500 by December, leading Taiwan and solidifying the city's position as a major manufacturing hub.
Key global suppliers, including Advanced Semiconductor Materials Lithography (ASML) and Tokyo Electron, have already established offices in Taichung to support TSMC's expanding operations in the region. The Economic Development Bureau highlighted these moves as part of a broader trend of domestic and international companies positioning themselves strategically within the central Taiwan city. ASML, based in the Netherlands, and Japan's Tokyo Electron are among the world's leading semiconductor equipment manufacturers supplying critical tools to chipmakers.
Domestic companies are also moving into Taichung to join the growing semiconductor supply chain in the region. MGC Pure Chemicals Taiwan (巨菱精密化學) set up a plant at Taichung Port in March 2023, while King Lai Group (新萊應材) opened a facility in the Wuqi District (梧棲區) in July 2024. Hon Precision (鴻勁精密) expanded with two new plants in the Daya District (大雅區) in June and December 2025, further strengthening the local manufacturing base.
The Economic Development Bureau expects these developments to foster a clustering effect, further enhancing the semiconductor supply chain's presence in Taichung. Officials said TSMC and its suppliers' continued investment positions Taichung as an increasingly critical player in the global semiconductor industry. The city's strategic location in central Taiwan and growing infrastructure make it attractive for technology companies seeking proximity to TSMC's operations. ◼ (At time of reporting, US$1 equals approximately NT$31.59)