TSMC to Build 9 Fabs, Taichung Fab 25 for Sub-2nm

TSMC continues its robust expansion both domestically and internationally in 2025. At the TSMC Taiwan Technology Forum held on May 15, Dr. T.S. Chang, TSMC's Senior Vice President of Operations, outlined the company's ambitious growth plans for the year.

TSMC expects to establish nine new facilities worldwide in 2025, including eight wafer fabs and one advanced packaging plant. Among these projects, the groundbreaking of TSMC's Fab 25 in Taichung is scheduled for the end of this year, targeting production of cutting-edge process technologies below 2 nanometers by 2028.

Dr. Chang highlighted TSMC's accelerated pace compared to previous years. From 2017 to 2020, the company averaged three new fabs annually, increasing to an average of five per year between 2021 and 2024. This year, the pace intensifies with the planned launch of nine new factories globally.

The Fab 20 in Hsinchu and Fab 22 in Kaohsiung are designated as key sites for 2nm mass production. Both began construction in 2022 and are expected to commence production within 2025. Looking ahead, Fab 25 in Taichung will support manufacturing of even more advanced process nodes below 2nm by 2028.

Further development in Kaohsiung includes plans for five additional fabs that will focus on delivering technologies such as 2nm and the forthcoming A16 (1.6nm) process nodes and beyond.

On the international front, Dr. Chang emphasized TSMC's strategy of leveraging shared expertise across global sites to ensure consistent and high yields. Production yield rates in TSMC's facilities in the United States and Japan have now reached parity with those in Taiwan, reflecting the company's operational excellence worldwide.

In addition to wafer fabrication, TSMC is rapidly expanding its advanced packaging capacity. The compound annual growth rate (CAGR) for SOIC packaging capacity is projected at 100% from 2022 to 2026, while CoWoS packaging capacity is expected to grow at approximately 80% CAGR during the same period.