TSMC to Start Kumamoto Fab 2 in H2 2025 with 6nm Process

According to reports, TSMC is set to commence construction of its second fabrication facility in Kumamoto, Japan, during the second half of 2025, according to recent announcements. Originally scheduled to break ground in Q1 2025, the project was delayed due to concerns over local traffic congestion caused by the ramp-up of operations at the first Kumamoto facility.

In April, TSMC confirmed that the construction timeline would be adjusted to minimize community impact. Masahiko Onodera, General Manager of TSMC Japan, has since confirmed that the second fab will officially begin construction later this year.

In 2024, TSMC's operations in Japan generated over $4 billion in revenue—accounting for approximately 4% of the company's total revenue. The company also reported wafer shipments equivalent to over 1.49 million 12-inch wafers from its Japan-based production lines, representing around 10% of its global output.

TSMC Chairman Dr. Mark Liu previously explained that the construction delay was primarily due to local traffic issues following the mass production launch of the first Kumamoto fab, which led to community concerns. TSMC aims to proceed with further development only after sufficient improvements in local infrastructure.

The first Kumamoto facility began mass production at the end of 2024, focusing on mature process logic chips ranging from 12nm to 28nm. The upcoming second fab will introduce Japan's most advanced 6nm technology. Once both facilities are fully operational, their combined monthly output is expected to exceed 100,000 wafers.

The total investment for both fabs stands at an estimated 2.96 trillion yen, with the Japanese government contributing approximately 1.2 trillion yen in support to bolster local semiconductor capabilities.

Industry analysts predict that TSMC's continued expansion—especially in advanced logic technologies and amid rising AI demand across smartphones, PCs, and data centers—could push its market valuation toward $3 trillion within the next five years.