Taiwan Semiconductor Manufacturing Co., the world's largest contract chipmaker, is considering building a second plant in Kumamoto Prefecture in addition to the one currently under construction there, the island's Central News Agency said Tuesday.
The agency quoted TSMC Chairman Mark Liu as telling reporters after its annual general shareholders' meeting that the location for the second proposed plant is also in the prefecture and that the company will focus on mature manufacturing process technologies rather than advanced ones.
TSMC is constructing an $8.6 billion wafer plant in Kikuyo, Kumamoto Prefecture, with mass production scheduled to start in 2024. Sony Group Corp. and Denso Corp., a major Japanese auto parts maker, are also investing in the factory while the Japanese government is providing financial aid.
Liu said the Japanese government hopes that the chipmaker will continue to expand its investment in Japan and that many customers feel that TSMC's production capacity is insufficient.
At present, TSMC has only purchased land for its first factory in Japan and the land needed for the second facility is still being arranged, the chairman added.