TSMC to Break Ground First European Plant on August 20

TSMC and its strategic partners are scheduled to break ground on their first European semiconductor plant on August 20th in Dresden, Germany. This facility represents one of the fastest-paced semiconductor plant developments in Europe in recent years.

TSMC Chairman C.C. Wei will lead a delegation of over 100 executives and employees at the groundbreaking ceremony. High-level executives from TSMC's partners—Bosch, Infineon, and NXP Semiconductors—will also attend, alongside representatives from the German government and the Free State of Saxony.

On August 8, 2023, TSMC, in collaboration with Bosch, Infineon, and NXP, announced the establishment of the European Semiconductor Manufacturing Company (ESMC). This joint venture will oversee the construction of the new German facility, which will employ TSMC's advanced 28/22nm planar CMOS and 16/12nm FinFET process technologies.

The plant is designed to have a monthly production capacity of approximately 40,000 300mm (12-inch) wafers. With the adoption of cutting-edge FinFET technology, the facility aims to strengthen Europe's semiconductor manufacturing ecosystem and generate around 2,000 high-tech jobs. Construction is planned to begin in the second half of 2024, with production anticipated to start by the end of 2027.

The Dresden plant will be a key asset under the European Semiconductor Manufacturing Company, a joint venture where TSMC's critical partners—Infineon, Bosch, and NXP—each hold a 10% stake. The plant's strategic location near Bosch's Dresden facility and close to Infineon's expanding power semiconductor plant, which is currently undergoing a €5 billion upgrade, will support the European Union's efforts to boost local production of automotive and industrial chips.