TSMC Targets 3nm Chip Production in Japan by 2028

The world’s largest contract chip manufacturer, TSMC, will begin mass production of 3-nanometer wafers at its second factory in Japan by 2028. The information was disclosed in a Taiwanese government document published on Tuesday (31 March), Reuters reports.

According to the document, the second factory in Japan will have a monthly production capacity of 15,000 12-inch wafers using the advanced 3-nanometer process.

In 2024, TSMC stated that total investment in its first and second factories in Japan would exceed $20 billion, with a combined monthly production capacity of 100,000 12-inch wafers. However, those facilities were planned to operate on comparatively less advanced technologies such as 40, 22/28, 12/16, and 6/7-nanometer processes.

Japanese media outlet Yomiuri reported in February that the investment in the second factory could reach approximately $17 billion, although TSMC has not yet confirmed this figure.

In 2021, TSMC established its subsidiary JASM in Japan with the support of Sony Semiconductor Solutions. Later, Japan’s Denso Corporation and Toyota Motor Corporation joined as minor stakeholders.

During a meeting in February with Japan’s Prime Minister Sanae Takaichi, TSMC Chief Executive Officer C.C. Wei confirmed plans for mass production of 3-nanometer chips at the second Japanese factory. Production at TSMC’s first factory in Japan began at the end of 2024.

It is worth noting that the Japanese government is offering various incentives to boost investment in the semiconductor industry. Recently, Prime Minister Takaichi announced that Japan’s semiconductor strategy will be updated next year to encourage investment in areas ranging from chip design to AI chip manufacturing.

DBTech/BMT/OR