Japanese lawmakers say that the government is willing to subsidize the construction of a second TSMC fab in Kumamoto, but the amount of subsidy is still being debated. That’s the word from two members of the ruling Liberal Democratic Party’s legislative caucus on semiconductors, Yoshihiro Seki and Akira Amari, according to Bloomberg.
The first Kumamoto fab is scheduled to begin production in 2024, and will be capable of producing chips at 12/16nm and 22/28nm sizes, according to TSMC Chairman Liu Deyin (劉德音).
The Japanese government is subsidizing as much as half of the construction costs for the first Kumamoto fab, and Seki says it will subsidize at least one-third of any potential second fab. Other international semiconductor companies have also proposed to build fabs in Japan, such as Samsung and Intel.
According to Seki, the government’s decision on subsidy levels will depend on factors such as what types of chips will be made at the new fab, and how it will impact domestic chip production. Seki says that if TSMC agreed to provide training to Japanese engineers on advanced chip production, for example, the government might be more supportive.