Japans Denso to invest in TSMC chip factory in Japan – Reuters
TSMC, which is the world’s biggest agreement chip maker, announced the$ 7 billion factory in southern Japan in November and building and construction is set up to begin this year, with production beginning by the end of 2024. It was originally initially to have a monthly month-to-month capacity capability 45,000 12-inch wafers.
The company, which is also a major Apple (AAPL.O) provider and produces some of the world’s most innovative semiconductors, said that Denso would invest$ 350 million for a more than 10 % equity stake in the Japanese plant.
< p data-testid= "paragraph-0" class=" Text __ text ___ 2vZwzq Text __ dark-grey ___ 1T5z1- Text __ regular ___ 3orWU3 Text __ big ___ 1NuIuP Body __ base ___ 3K85eE Body __ large_body ___ 1_XkH1 article-body __ component ___ vulnXJ “> TAIPEI, Feb 15( Reuters )- Taiwan Semiconductor Manufacturing Co( TSMC) said on Tuesday that the chip plant it is integrating in Japan with Sony Group (6758.
T) will broaden, with an extra $1.6 billion in costs, while automobile supplier Denso Corp (6902. T) will take a 10% stake.
TSMC, which is the world’s largest contract chip maker, announced the$ 7 billion factory in southern Japan in November and building and construction is scheduled to start this year, with production beginning by the end of 2024. find out more< p data-testid=" paragraph-2" class=" Text __ text ___ 2vZwzq Text __
dark-grey ___ 1T5z1 -Text __ regular ___ 3orWU3 Text __ big ___ 1NuIuP Body __ base ___ 3K85eE Body __ large_body ___ 1_XkH1 article-body __ element ___ vulnXJ “> That announcement was welcomed by the Japanese federal government which desires TSMC to construct plants to supply necessary chips to Japan’s electronic gadget makers and vehicle companies as trade friction between the United States and China threatens to interfere with supply chains and need for the part grows.
< h5 class=" Text __ text ___ 2vZwzq Text __ white ___ cSohpe Text __ medium ___ 3mY4FC Text __ heading_5 ___ Zn3DqM Heading __ base ___ 3qCIA2 Heading __ heading_5 ___ ruN8eD registration-prompt
__ heading ___ 2LgQ-c” > Register now totally free endless access to Reuters.com
regular ___ 3orWU3 Text __ big ___ 1NuIuP Body __ base ___ 3K85eE Body __ large_body ___ 1_XkH1 article-body __ element ___ vulnXJ” > TSMC said in a declaration on Tuesday that to satisfy market need, it had chosen to boost the plant’s abilities and increase regular monthly production capability to 55,000 12-inch wafers, putting the new total cost at around$ 8.6 billion. It was originally due to have a month-to-month production capacity of 45,000 12-inch wafers.
The company, which is also a significant Apple (AAPL.O) supplier and produces a few of the world’s most sophisticated semiconductors, said that Denso would invest$ 350 million for a more than 10 % equity stake in the Japanese plant.
Automakers have been especially severely hit by the worldwide chip scarcity, which have actually seen some production lines stopped.
” Through this collaboration, we contribute to the stable supply of semiconductors over the medium to long term and thus to the automotive industry,” Denso’s CEO Koji Arima was priced quote as saying in the TSMC statement.
Taiwan, house to chip makers such as TSMC, has actually become front and centre of efforts to deal with the chip scarcity.< p data-testid =" paragraph-9" class =" Text __
text ___ 2vZwzq Text __ dark-grey ___ 1T5z1- Text __ routine ___ 3orWU3 Text __ large ___ 1NuIuP Body __ base ___ 3K85eE Body __ large_body ___ 1_XkH1 article-body __ element ___ vulnXJ” > TSMC in 2015 vowed to invest $ 100 billion over the next 3 years to broaden chip capability and is developing a $ 12 billion chip fabrication plant in the U.S. state of Arizona.
Register now for FREE unlimited access to Reuters.com
2pIB3c Text __ default ___ 1ZhUwy TextButton __ medium ___ 1HuzMG” > Register Reporting by Meg Shen and Ben Blanchard; Editing by David Goodman and Alexander Smith
Our Standards: The Thomson Reuters Trust Principles.