TSMC: Will set up a second factory in Kikuyo Town, Kumamoto Prefecture, Kyushu, Japan

Recently, Japanese Prime Minister Fumio Kishida visited Kumamoto Prefecture today and went to TSMC's Kumamoto factory for inspection. He exchanged views with TSMC President Wei Zhejia and expressed condolences for the Hualien earthquake that occurred a few days ago.

TSMC executives said the company will set up a second factory in Kikuyo Town, Kumamoto Prefecture, Kyushu, Japan. Fumio Kishida pointed out that TSMC's Kumamoto plant has a huge ripple effect on the whole of Japan. Not only on the semiconductor industry, but also on industries such as electric vehicles.

Currently, TSMC’s first factory in Japan, namely TSMC Kumamoto Factory, started construction in April 2022 and officially opened on February 24 this year. It mainly produces 22/28nm and 12/16nm, with a monthly production capacity of 55,000 pieces.

Kumamoto Plant 2 is expected to start operation by the end of 2027, planning to produce advanced processes such as 6nm. The Japanese government will provide TSMC with a subsidy of approximately 730 billion yen (IT Home Note: Currently approximately RMB 34.967 billion) for Kumamoto Plant 2, while Plant 1 can receive a government subsidy of up to 476 billion yen (currently approximately RMB 22.8 billion).

According to TSMC's announced second factory construction plan, the total investment amount together with the first factory is expected to exceed US$20 billion (currently about RMB 143.8 billion).