Tuesday, July 27th 2021

TSMC Looking to Build a Fab in Germany

TSMC, as part of its strategy to build cutting-edge semiconductor foundries in the US and EU, is looking to build a ground-up fab in Germany. The company's chairman, Mark Liu, made an announcement to this effect in the company's annual general meeting (AGM), addressing shareholders, held on July 26. This move is still in its "early stages," according to a DigiTimes report, with the company prospecting a suitable site across the country. The size and scale of TSMC's investment remains under the wraps.

TSMC's expedition to Germany aligns with an ambitious plan by the European Commission to make the EU a net-exporter of semiconductors and electronics by 2030. TSMC will have Intel Foundry Services for company in Germany, as an acquisition of Global Foundries would put Intel in control of its real-estate in Dresden. Intel is still prospecting the EU for a suitable place to invest €20 billion, besides ongoing investments in states such as the Republic of Ireland.
Source: DigiTimes
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11 Comments on TSMC Looking to Build a Fab in Germany

#1
lynx29
Seems like a smart move. With the multiple new factories coming online through 2023 though, I really don't think demand will be an issue anymore. Especially with limited sand reserves the silicon makers need delivered... perhaps I don't understand the logistics as well as I think I do though so meh

a new factory should be strategically located near the biggest usable sand reserves not currently in use yet... where is that?
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#2
TumbleGeorge
Ok, this is it! Make fabs in countries which presence in top 10 for biggest salaries. And wait for cheap hardware.
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#3
Legacy-ZA
TumbleGeorgeOk, this is it! Make fabs in countries which presence in top 10 for biggest salaries. And wait for cheap hardware.
Better than having China hold the world to ransom.
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#4
Aquinus
Resident Wat-man
TumbleGeorgeOk, this is it! Make fabs in countries which presence in top 10 for biggest salaries. And wait for cheap hardware.
People say the same thing about manufacturing in the United States as well. The difference is the level of automation in factories in these high income nations. Higher salaries aren't a big factor if you don't need as big of a workforce to do the same thing. Also, the cost to import and export is a thing too, so producing within the EU might actually be cheaper for consumers in the EU.
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#5
DeathtoGnomes
net-exporter of semiconductors and electronics by 2030.
When I first read this I thought it said built by 2030, and thought it meant taking 9 years to build? I had to re-read this after I had some coffee. So the EU wants to have a normal market by 2030, yea I'm all for that. :rolleyes:
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#6
TumbleGeorge
Legacy-ZABetter than having China hold the world to ransom.
My country CSI or related German agency(add it's name) ransom is preferable than chinese ransom(show me this chinese ransom, prove it existance in all high-tech hardware made in China) because ? Lol!

Not sure there as well soon will have equal(15%) corporate tax in all EU, or in most of world(?) But in different countries has many other taxes. In EU has big payment for carbon emissions and maybe for other positions. In Germany has inner instability because many southeast emigrants part of them Muslim fanatics.
AquinusPeople say the same thing about manufacturing in the United States as well. The difference is the level of automation in factories in these high income nations. Higher salaries aren't a big factor if you don't need as big of a workforce to do the same thing. Also, the cost to import and export is a thing too, so producing within the EU might actually be cheaper for consumers in the EU.
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#7
TheUn4seen
TumbleGeorgeOk, this is it! Make fabs in countries which presence in top 10 for biggest salaries. And wait for cheap hardware.
I wish this was true. Sadly, I really don't think it is. Fabs get increasingly automated so there are far less employees needed than, say, five years ago, and this trend will continue - there already are almost fully automated factories in the world. Secondly, EU has horribly high taxes, up to a point where it actually priced itself out of the manufacturing world years ago. "Cheap hardware" simply is not a possibility around here and this move seems like just a way of avoiding the horrible and ever increasing import tax the EU wants to stamp on everything - the EU governing bodies looked at the US "import tariffs", said "yay, we want more money too" and started adding multipliers to taxes.
I don't foresee "cheap hardware" in Europe's future, at best it will be "slightly less expensive than it could have been". And guess who will pay those taxes, because I can assure you the corporations won't...
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#9
DeathtoGnomes
TumbleGeorgeshow me this chinese ransom, prove it existance in all high-tech hardware made in China) because ? Lol!
ignorance is bliss. if you dont know by now the 'how' part of it, you'll never see it.
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#11
NuCore
TSMC build a factory in Poland, there is cheaper labor there than in Germany ;)
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