Taiwan Semiconductor Manufacturing Co’s (TSMC, 台積電) board of directors has approved a plan to set up a wholly owned US subsidiary in Arizona with paid-in capital of US$3.5 billion.
Yesterday’s announcement confirms that TSMC would fulfill its commitment and proceed with a US$12 billion investment to build a new fab in the US.
TSMC in May said that it was in talks with the US central and local governments to secure incentives to narrow the manufacturing cost gap between Taiwan and the US.
Photo: Reuters/Ann Wang
The chipmaker plans to make 5-nanometer chips by 2024 at the fab, which would be its first 12-inch fab overseas.
The Hsinchu-based chipmaker yesterday also said its board of directors has approved to distribute a cash dividend of NT$2.5 per common share for the third quarter of this year and set March 23 as the record date for common stock shareholders entitled to participate in this cash dividend distribution.
The board also approved capital appropriation of about US$15.1 billion for capacity expansion of advanced technology and specialty technology, the company said in a statement.
The capital would also be spent on upgrading wafer packaging capacity as well as research and development.
The chipmaker said revenue last month dropped 6.5 percent to NT$119.30 billion (US$4.13 billion), compared with NT$127.59 billion in September. On an annual basis, revenue expanded 12.5 percent from NT$106.04 billion.
In the first 10 months of this year, TSMC’s revenue soared 27.7 percent to NT$1.1 trillion from NT$858.79 billion a year earlier.
SUPPLY CHAIN RESHUFFLE: The chipmaker was ‘cautious’ in not making commitments too early in building production in the US, citing ‘geopolitical factors,’ Nikkei Asia said Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) is considering building an advanced IC packaging plant in the US following a massive investment to set up a wafer fab in Arizona, Nikkei Asia reported. TSMC was considering the plant in response to “Washington’s desire to bring more of the tech supply chain onto home turf,” the report said. TSMC increasingly faces the need to expand in the US, which accounts for about 62 percent of its total sales, Nikkei Asia said, citing three sources who declined to be named. The potential US plant would be equipped with the latest 3D stacking technologies to arrange chips
MARKET BOOST: Elon Musk said Tesla would resume bitcoin transactions once there is ‘reasonable’ clean energy usage by miners and denied selling a big part of his holdings Bitcoin yesterday hit a two-week peak just shy of US$40,000, after another weekend reacting to tweets from Tesla Inc chief executive Elon Musk, who fended off criticism over his market influence and said Tesla sold bitcoin, but might resume transactions using it. Bitcoin has gyrated to Musk’s views for months since Tesla announced a US$1.5 billion bitcoin purchase in February and said it would take the cryptocurrency in payment. He later said the electric vehicle maker would not accept bitcoin due to concerns over how mining the currency requires high energy use and contributes to climate change. “When there’s confirmation of reasonable
China Steel Corp (中鋼), the nation’s biggest steelmaker, yesterday said that it would not be raising prices for some products next month, ending 12 consecutive months of increases. “There is a discrepancy between China Steel’s prices and international prices, but in consideration of price stability, we have decided not to adjust upward monthly-priced products,” the company said in a statement. That means the price of hot-rolled steel plates, hot-rolled steel coils, cold-rolled steel coils and other monthly-priced items would not change next month. However, the cost of other items priced seasonally would be going up, the company said, adding that prices of products
An announcement by ASE Technology Holding Co (ASE, 日月光投控) ordering its migrant workers to move from private rented accommodation to company dormitories is in line with Central Epidemic Command Center (CECC) regulations, the Ministry of Economic Affairs said on Saturday. The “temporary measures” adopted by the IC packaging and testing company “are in accordance with epidemic prevention requirements set by the CECC,” the ministry’s Industrial Development Bureau said in a statement. By stepping up regulation of worker accommodation, the company hopes to prevent more migrant workers contracting COVID-19, the statement said. The statement did not specify which CECC regulations the