Taipei, Dec. 20 (CNA) An investment plan by Taiwan Semiconductor Manufacturing Co. (TSMC) to establish a plant in Japan was approved on Monday by the Taiwan Investment Commission, which hailed it as an important step in the high-tech cooperation between the two countries.
The commission said it had approved the investment plan to allow TSMC to help secure a stable supply of wafers for Japanese customers.
As Taiwan remains ahead of Japan by at least a generation in terms of chip production technology, “there should be no fear of leakage regarding high-end chip processing technology,” the commission said.
As part of the project, TSMC will spend 237.8 billion Japanese yen ($ 2.09 billion) to establish a joint venture, Japan Advanced Semiconductor Manufacturing, Inc. (JASM), with Sony Semiconductor Solutions Corp. (SSS) in Kumamoto Prefecture to provide foundry service with initial 22/28 nanometer process technology to meet the strong global market demand for specialized technologies.
Based on the agreements between TSMC and SSS, TSMC expects to own up to 81 percent stake in JASM.
Construction of JASM’s manufacturing plant in Kumamoto is expected to begin in 2022, and mass production is expected to start in 2024.
The plant would directly create around 1,500 professional high-tech jobs and have a monthly production capacity of 45,000 12-inch wafers.