Overview
- TSMC informed Japan it intends to shift the under‑construction Kumamoto Fab 2 from a 6–12nm plan to mass‑producing 3nm chips in Kikuyo.
- Chair C. C. Wei outlined the plan in a meeting with Prime Minister Sanae Takaichi, which would establish Japan’s first 3nm manufacturing site.
- The investment for the second Kumamoto plant rises to $17 billion from $12.2 billion, with detailed discussions to proceed with METI before final sign‑off.
- Japan currently lacks domestic 3nm capacity, and the project is expected to bolster supply for AI data centers, advanced manufacturing robots, and autonomous driving.
- The move aligns with TSMC’s larger 2026 capex plan of up to $56 billion and a diversification strategy that analysts say hedges geopolitical and tariff risks.