TSMC opens 2nm chip manufacturing plant in Taiwan

Taiwan Semiconductor Manufacturing Co. (TSMC) has opened a new chip manufacturing plant in the southern city of Kaohsiung, confirming its intention to keep its core operations on the island. The new facility will produce products using advanced 2-nanometer technology and create about 7,000 high-tech jobs, Reuters reported. The move will strengthen Taiwan’s position in the global semiconductor supply chain.

At an opening ceremony broadcast on local television, TSMC Executive Vice President Yung-Pei Chin said that mass production at the new plant would begin in the second half of 2025, according to schedule.

The opening came shortly after TSMC announced plans to invest $100 billion in expanding its manufacturing capacity in the United States. This raised concerns in Taiwan that the company’s domestic presence could be weakened. Without going into detail about the matter, Chin stressed that Taiwan would remain a strategic base for TSMC. He said the company would continue to seek opportunities to increase investment in the region and stressed its unwavering commitment to meeting global customer demand.

Taiwanese Prime Minister Cho Chung-tae, who attended the ceremony, thanked TSMC for confirming its intentions. He said that “the most important foundation will remain in Taiwan” and that the company itself will always be part of the national team.

TSMC plays a key role in the global semiconductor industry and has a strategic place in Taiwan’s economy. With its dominance in manufacturing advanced chips for customers such as Apple, NVIDIA and Qualcomm, the company is also an important part of the US technology supply chain.

Amid heightened geopolitical tensions, US President Donald Trump has continued to push for chip manufacturing to return to the country and has criticized Taiwan for “taking out” the business. He is expected to announce new reciprocal tariffs on imports, including semiconductors, this week.

But TSMC and Taiwanese authorities have stressed that cutting-edge technology will remain on the island. Production of 2nm chips will be carried out not only at a new plant in Kaohsiung, but also at the company’s main site in Hsinchu.