The government is considering lifting the long-term ban on Taiwanese semiconductor manufacturers producing chips in China by the end of the year, a government official said yesterday.
Huang Chin-tan (
Under the new plan, two computer memory chipmakers Powerchip Semiconductor Corp (
In addition, the government would also allow local semiconductor firms to produce chips with relatively advanced 0.18 micronmeter processing technology, Huang said.
At the present time Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) is the only Taiwanese company that has obtained the government's approval to make chips in China using 0.25 micronmeter technology. The government agreed in 2002 to allow three local chipmakers to establish fabrication plant using 0.25 micron technology.
TSMC, the world's largest made-to-order chipmaker, has repeatedly called on the government to remove the restriction on using 0.18-micron technology to make chips in the mainland.