TSMC will implement 3-nanometer chip production transition in Kumamoto

Taiwan Semiconductor Manufacturing Company (TSMC) plans to launch large-scale production of 3-nanometer chips at its Kumamoto industrial base in southern Japan, marking a significant leap forward in its manufacturing strategy in Japan. According to Jin10, this major move responds to Japan’s long-standing expectations for upgrading its domestic chip industry and also reflects Japan’s determination to secure its strategic position in the global semiconductor competition.

From 7nm to 3nm Capacity Leap

Originally, TSMC aimed to achieve 7nm chip production at the Kumamoto plant, with a target completion date by the end of 2027. Now, this goal has been upgraded to the more advanced 3nm process, representing a major technological upgrade in chip manufacturing. As the preferred chip foundry for tech giants like Nvidia and Apple, every advancement TSMC makes in advanced process technology will have a profound impact on the global chip supply chain. The technological upgrade at Kumamoto reflects the current market’s urgent demand for 3nm capacity.

Investment Scale and Geopolitical Strategy of the Kumamoto Factory

To support this ambitious plan, TSMC intends to increase its total investment in Kumamoto to 2.6 trillion yen. This substantial investment not only demonstrates TSMC’s commitment to the Japanese market but also signifies a reorganization of the chip manufacturing landscape in East Asia. As a key global electronics manufacturing hub, Japan’s introduction of TSMC’s cutting-edge capacity further consolidates its critical role in the global supply chain.

Early Stage and Uncertainties Remain

It is worth noting that industry insiders, such as Yomiuri Shimbun, have warned that TSMC’s plans in Japan are still in the preliminary discussion stage, and final plans may be subject to adjustments. The complexity of the chip industry and geopolitical uncertainties could influence the specific implementation of this grand plan. Industry observers suggest viewing the Kumamoto project as a long-term process that may require multiple optimizations and adjustments along the way.