TSMC plans five more packaging plants at Chiayi Science Park as Phase III advances
Taiwan Semiconductor Manufacturing Co intends to build five additional advanced packaging plants at Chiayi Science Park, which would bring its total there to 10. The National Science and Technology Council has opened a public comment period for the park's Phase III development, estimated at 198.65 h
The National Science and Technology Council has issued a formal notice to solicit public feedback on further expansion in Phase II of the Chiayi Science Park, which local industries have viewed as the starting point for the park's Phase III development. Taiwan Semiconductor Manufacturing Co (TSMC) intends to increase its investment by building five additional advanced packaging plants at the park, the Chinese-language Liberty Times reported yesterday, citing sources in the semiconductor supply chain.
If realised, TSMC's total advanced packaging plants at the park would reach 10, making it the world's largest and most technologically advanced packaging hub, the report said. TSMC has two advanced packaging facilities in Phase I of the park. The company started mass production at Phase I in June and has installed equipment at Phase II, the report said.
In Phase II, TSMC plans to build three packaging plants, with Phase III already under construction. The company's goal is to complete construction of all three facilities in Phase II by 2031, the report said. The robust demand for TSMC's chip-on-wafer-on-substrate packaging technology from Nvidia Corp, Advanced Micro Devices Inc and Apple Inc is the primary driver behind TSMC's continued capacity expansion at the Chiayi Science Park, the report said, citing industry observers.
The Chiayi Science Park is in the county's Taibao City. Its development would connect with other Southern Taiwan Science Park branches in Tainan, Kaohsiung and Pingtung County, as well as the Central Taiwan Science Park and Hsinchu Science Park to form the world's most comprehensive artificial intelligence and semiconductor industry corridor, the council said earlier.
As for the Phase III site, which is estimated at 198.65 hectares and primarily leased from Taiwan Sugar Corp, the council said the development would focus on technologies related to AI, heterogeneous packaging, silicon photonics, high-speed broadband networks, quantum technology and net zero emissions. It would undergo a one-month public comment period to gather opinions from local communities and various sectors. Following that, a feasibility assessment and planning would be conducted and submitted to the Executive Yuan for approval before entering urban planning and environmental impact assessments, the council said.
In July, TSMC raised its capital expenditure forecast to US$60 billion to US$64 billion for this year, up from a range of US$52 billion to US$56 billion announced in April. In addition to the company's investments in the US, Japan and Germany, TSMC operates 19 advanced wafer fabs and chip packaging plants in Taiwan and is building 13 additional fabs and packaging facilities in Hsinchu City, Taichung, Chiayi County, Tainan and Kaohsiung, according to the Ministry of Economic Affairs. Further investment is planned as TSMC seeks to maintain its lead over global competitors in advanced process development, the ministry said.
