TSMC planning to build new factories in US, Japan
By Shubhangi on Jul 16, 2021 | 04:36 AM IST
Taiwan
Semiconductor Manufacturing Co Ltd (TSMC) on Thursday unveiled its plan to
build new factories in the United States and Japan with a surge in the demand of
chips.
The Taiwanese
firm posted record quarterly sales and forecasted higher revenue for the
current quarter.
TSMC said
it will expand production capacity in China and may also expand its $12 billion
factory in Arizona, US.
The company is considering expansion amid concern over
concentration of chipmaking capability in Taiwan, reported Reuters.
The company is also geographically close to China, country’s
political rival, which could bring the island under its control forcefully.
TSMC and Taiwan have also been working to solve the issue of
global chip shortage due to which many automakers had to cut production and
severely affected manufacturers of smartphones, laptops, etc.
"We are expanding our global manufacturing footprint to
sustain and enhance our competitive advantages and to better serve our
customers in the new geopolitical environment," said TSMC chairman Mark
Liu, reported Reuters.
"While our overseas fabs are not initially able to
match the costs of our manufacturing operations in Taiwan, we will work with
governments to minimise the cost gap," Liu said.
(With
inputs from Reuters)
Picture
Credits: Reuters