TSMC suspends construction of new fab

Update: April 14, 2023

Apr. 12, 2023 /SemiMedia/ — According to reports, TSMC has canceled orders for all production equipment originally planned for its new 28nm fab due to changes in market demand.

The new fab was originally scheduled for mass production next year, but due to changes in demand, its construction plan has changed. The relevant mechanical and electrical engineering bids have been postponed for one year, and the clean room and equipment installation operations have been postponed accordingly, and all 28nm equipment planned to be purchased were also cancelled.

The report also pointed out that TSMC originally planned to build two fabs in Kaohsiung, including 7nm and 28nm factories. Among them, the 7nm factory has been adjusted due to weak demand in the smartphone and personal computer markets.

In March of this year, TSMC’s consolidated revenue was approximately NT$145.408 billion, a decrease of 10.9% from the previous month and a decrease of 15.4% from the same period last year.

Regarding this report, TSMC stated that the relevant process technology and timetable depend on customer needs and market trends, and it is inconvenient to make further comments at present.

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