[News] TSMC Rumored to Appoint Higher-Level Executive to Accelerate Progress at U.S. Fab

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As the U.S. Department of Commerce finalizes subsidies for Intel and TSMC, the two major semiconductor manufacturers will enter a new competitive landscape in the United States.

In preparation for these new challenges and with the first fab trial production imminent, sources cited by a report from Liberty Times has revealed that TSMC will dispatch Vice President of Manufacturing Operations, Arthur Chuang, to oversee the Arizona site in May. He will collaborate with TSMC’s vice president of fab operations Dr. Y.L. Wang, signaling TSMC’s accelerated efforts to establish and produce at U.S. fabs concurrently, aiming to achieve a competitive advantage in advanced manufacturing processes in the United States.

Arizona Fab to Begin Trial Production of 4,000 Wafers by Month’s End

Following the confirmation of subsidies for Intel and TSMC by the U.S. Department of Commerce, subsidies for Samsung are also rumored to be announced soon. Industry sources cited in the report from Liberty Times believe that the United States, through these subsidies promoting domestic chip manufacturing and with major clients gathering, will become the primary battlefield for investment in advanced manufacturing processes.

However, with high production costs and the need to rebuild supply chains, TSMC has adjusted its strategy following a series of setbacks at its first fab. After more than a year of installation work, the fab is nearing completion and preparing to embark on a new phase with trial production of approximately 4,000 wafers using 4-nanometer processes by the end of this month. The target is to ramp up production by the first half of 2025, making this facility the most advanced semiconductor fab in the United States.

TSMC’s U.S. fab is facing new challenges as it continues to build and produce concurrently. According to the same report citing industry sources, unlike the previous director-level executive overseeing operations at the U.S. fab, TSMC will be assigning a vice president-level executive to lead the site, with experienced fab construction veteran Arthur Chuang slated for a long-term assignment in the United States starting in May.

Arthur Chuang holds a Ph.D. in Civil Engineering from National Taiwan University and joined TSMC 35 years ago as an equipment engineer. He transitioned to fab operations over 25 years ago and has overseen the construction of nearly 20 fabs, including Fab 15 in Tainan, Fab 18 in Southern Taiwan, and the advanced 2-nanometer fab sites in Hsinchu and Kaohsiung.

TSMC’s second semiconductor fab in the United States is currently under construction, with plans announced on April 8th to commence production of next-generation 2-nanometer process technology in 2028. Additionally, a third fab is scheduled to begin mass production of 2-nanometer or more advanced process technologies by the end of 2030.

The total area of TSMC’s U.S. fab is 1,100 acres, which is more than half of its area in the Hsinchu Science Park. Estimates from the supply chain suggest that this site could accommodate up to six fabs, indicating that TSMC’s expansion plans may go beyond just building a third fab. If collaboration with U.S. partners proceeds smoothly, further expansion is also possible in the future.

TSMC’s Kumamoto Fab Phase 2 to Commence Construction by Year-End, Production Set for 2027

Additionally, TSMC’s Japan Kumamoto Fab (JASM) announced yesterday that its Phase 2 facility will be located adjacent to Phase 1 on the east side, covering an area of approximately 320,000 square meters, which is about 1.5 times the size of Phase 1. Construction is scheduled to commence by the end of this year, with production expected to start by the end of 2027.

TSMC is scheduled to hold an earnings call on April 18th, and ahead of the conference, positive news has emerged regarding the new US fab. It is anticipated that the related topics will also be the focus of attention on the day of the conference.

Read more

• [News] TSMC Receives USD 6.6 Billion for Chipmaking from the US Government, Commits to Constructing Third Fab
• [News] TSMC’s US Fab Reportedly Eyeing for Early Mass Production

(Photo credit: TSMC)