TSMC announced the establishment of a joint venture with Bosch, Infineon, and NXP
Taiwan Semiconductor Manufacturing Company (TSMC) has announced that its board of directors has approved plans to construct a semiconductor factory in Germany, entering a joint venture with Bosch, Infineon, and NXP Semiconductors to invest in European Semiconductor Manufacturing Company (ESMC), located in Dresden, Germany, to offer advanced semiconductor manufacturing services. Within this collaboration, TSMC will possess 70% of the equity in the joint venture, while the remaining 10% will be equally divided among Bosch, Infineon, and NXP Semiconductors.
The planned construction of a new 300mm wafer factory will employ 22/28nm planar CMOS and 12/16nm FinFET fabrication technologies, with an anticipated monthly capacity of 40,000 wafers. This will give rise to approximately 2,000 direct specialized high-tech job positions. ESMC’s goal is to initiate construction in the latter half of 2024, with production commencing at the close of 2027. The total projected investment exceeds 10 billion euros, encompassing equity injections, debt borrowing, and subsidies from both the European Union and the German government, with the day-to-day operations entrusted to TSMC.
TSMC’s President, Dr. CC Wei expressed that the investment in Dresden, Germany manifests TSMC’s dedication to serving the strategic capabilities and technological requirements of its clients. He is delighted to have the opportunity to deepen long-term partnership relationships with Bosch, Infineon, and NXP Semiconductors. Europe represents a region of immense potential for semiconductor innovation, particularly in the automotive and industrial sectors. He looks forward to collaborating with European talent to integrate these innovations into TSMC’s cutting-edge semiconductor technologies and translate the innovations into practice.
