Erudite Asia’s Post

Semiconductor manufacturing waxes and wanes, and worries about what will happen in the future will come first TSMC's expansion in Japan's semiconductor manufacturing industry is causing concern in China, as there are worries that Japan will take advantage of TSMC's technological strength to become a latecomer in the industry, leaving China at a disadvantage. The Chinese government is concerned about Japan's increasing dominance in the semiconductor market, and TSMC's significant investment in Japan is seen as a sign of support from the Japanese government. This shift in the semiconductor industry is prompting fears in China, as the country continues to seek technological breakthroughs amidst Western containment measures. #Semiconductors #Taiwan https://lnkd.in/gx_CZSdq

Shi Zhenrong: The most important thing for Japanese semiconductors to be resurrected is "coexistence and common prosperity" The Japanese government is actively revitalizing the semiconductor industry by inviting TSMC to set up factories in Japan and creating a national chip team. Founder of Acer Group, Shi Zhenrong, emphasizes the importance of "coexistence and common prosperity" for the resurrection of Japanese semiconductors. Taiwan-Japan cooperation is highlighted for advanced chip production. TSMC plans to start mass production in Japan with a new factory in Kumamoto Prefecture, with the Japanese government providing significant subsidies. Rapidus, a wafer foundry company, aims to mass-produce advanced logic chips below 2 nanometers by 2027 with government support. #Semiconductors #Taiwan https://lnkd.in/gyn3zEDM

Gong Mingxin visited the Czech Republic for the third time: deepening industrial cooperation with semiconductors as the axis [Exclusive Interview] Executive Yuan Secretary-General Gong Mingxin visited the Czech Republic for the third time at the end of August 2023, optimistic about the country benefiting from the semiconductor cluster effect, particularly after TSMC's investment in Germany. The Ministry of Economic Affairs plans to establish a service center in the Czech Republic to assist Taiwanese manufacturers. The trip aimed to deepen industrial cooperation amid global challenges such as the U.S.-China trade war and the COVID-19 pandemic, which highlighted the strategic importance of semiconductors. Gong emphasized that while TSMC's factory is in Germany, supply chains can also extend to the Czech Republic due to its geographical advantages. During his visit, he engaged with local officials and visited potential investment sites, including Usti, which he views as an emerging investment hub due to its proximity to Dresden. The Taiwanese government is keen on fostering connections with Czech students to enhance semiconductor expertise through scholarship programs. To support long-term industrial ties, the Ministry of Economic Affairs will focus on understanding manufacturers' needs and assisting them in navigating local investments. Gong believes that as global supply chains reorganize, the partnership between Taiwan and Central and Eastern Europe, particularly in semiconductors, will strengthen. #Semiconductors #Taiwan https://lnkd.in/gsmvtuMq

The opening of TSMC’s Kumamoto fab is reported by Japanese media to be as popular as Taiwan The opening of TSMC's Kumamoto fab is being widely reported in Japanese media. The event has generated significant interest in Japan due to the strong financial investment from the Japanese government and the potential impact on the semiconductor industry. The opening is seen as a significant step in revitalizing the semiconductor industry in Japan and strengthening the semiconductor supply chain in East Asia. #Semiconductors #Taiwan https://lnkd.in/gW7mqPtA

Taiwan stock volume shrank, down 32.99 points Analyst: Observe the direction of the International Semiconductor Exhibition Taiwan stocks declined by 32.99 points, closing at 22235.10 points, with a transaction value of NT$286.194 billion, marking the lowest volume since mid-February. The three major legal entities sold a total of over 17.786 billion yuan, indicating a contraction in market volume. Foreign capital and mainland investors exhibited overselling behavior, while self-operators sold over 6.867 billion yuan. Upcoming events, such as the International Semiconductor Exhibition and the release of Apple's new machine, may influence future market trends. Currently, the market is in a correction phase, and there is speculation about a potential rise in mid-to-late September, depending on upcoming news and developments. #Semiconductors #Taiwan https://lnkd.in/gtsMZb3K

Trump and Chang are expected to share the stage at the completion ceremony of TSMC's US factory early next month TSMC's Arizona plant will hold a completion ceremony during the first week of December, attended by U.S. President Trump and TSMC founder Chang Chung-mou. The event aims to emphasize collaboration in the semiconductor sector between Taiwan and the U.S., with key figures from leading tech companies expected to be present. Analysts foresee that the ceremony may shed light on U.S. chip legislation and TSMC's subsidies, further enhancing the partnership. The facility is scheduled to begin mass production in the first half of next year, focusing on five-nanometer and four-nanometer processes, with future plans for two-nanometer production. However, TSMC must meet regulatory prerequisites before initiating overseas two-nanometer production. Economic Minister Kuo Chi-hui highlighted TSMC's significance in advanced manufacturing and noted ongoing U.S. support is likely, regardless of election results. The U.S. is also incentivizing TSMC's investment through a substantial subsidy package as part of its nearshoring strategy, which includes a $6.6 billion subsidy and a potential loan of up to $5 billion. Economic officials have not confirmed specifics about the loan, citing sensitivities surrounding the timing after the U.S. presidential election. #Semiconductors #Taiwan https://lnkd.in/gUP3f6YQ

Japanese Semiconductors Return to Glory with Return Performance Better than Half in 2023 Japanese semiconductors are experiencing significant growth, with the Japan Semiconductor Manufacturing Equipment Association (SEAJ) projecting a 17% increase in the industry for 2024, reaching 1.35 trillion yen. Growth is expected to accelerate to 30% in 2025, driven by a recovery in foundry and memory investments, totaling 1.74 trillion yen. The Japanese semiconductor index surged by 80.1% in 2023, outperforming other indices. Factors contributing to Japan's competitiveness include the complexity and high costs of semiconductor equipment, which creates barriers for new entrants. Japanese semiconductor equipment accounts for nearly 60% of the nation's exports and approximately 30% of the global market share. The demand from AI, high-speed computing, and automotive upgrades is further driving the global semiconductor market, with projections of a 4.4% growth in global semiconductor-related equipment sales for 2024. The Japanese government aims to triple semiconductor company revenues from 5 trillion yen in 2020 to 15 trillion yen by 2030. #Semiconductors #Taiwan https://lnkd.in/gtN8Bzva

Silicon innovation is everywhere! Shi Zhenrong: Taiwan needs to have "small-volume and diversified" manufacturing capabilities Shi Zhenrong, founder of Acer Group, emphasized the importance of silicon innovation in Taiwan during a summit forum. He discussed the concept of "Si-innovation" and the need for Taiwan to transition from mass production to small quantity and variety manufacturing capabilities. Additionally, he highlighted the role of Taiwan in the global market and the necessity for the country to contribute to silicon civilization through innovation and division of labor. Taiwan's geographical distance from the market and cultural applications were identified as challenges to overcome in order to make more effective contributions to the world. #Semiconductors #Taiwan https://lnkd.in/dxQxcC6A

Summary: This article reports that the grand opening ceremony for Taiwan Semiconductor Manufacturing Company (TSMC)'s new factory in Arizona has been postponed. The delay is attributed to the need to monitor the potential actions of former President Trump, who may resume office in January 2025. Details: * Postponement of the Grand Opening Ceremony: TSMC has postponed the scheduled December 6th grand opening ceremony for its Arizona factory. This decision is due to concerns over potential policy changes related to China and the semiconductor industry if former President Trump returns to office. * Geopolitical Risks: TSMC is constantly exposed to geopolitical risks such as US-China trade tensions and the global technology rivalry. The company is highly sensitive to changes in US government policies. * US Government Involvement: The US government has been supporting TSMC's factory construction in Arizona to strengthen its domestic semiconductor industry. However, there is a possibility that a future administration, like that of former President Trump, could prioritize relations with Taiwan or China and exert pressure on TSMC. * TSMC's Strategy: TSMC has been building factories in multiple countries, including the United States, Japan, and Germany, to diversify its operations and ensure a stable supply for its customers. The company is also investing heavily in advanced technology to maintain its competitive edge. * Future Outlook: If former President Trump returns to office, TSMC may face challenges such as reductions in US government subsidies and decreased orders from China. However, given its strong technological capabilities and customer base, TSMC is expected to maintain its competitiveness in the long run. https://lnkd.in/gDrvNHFA

"Essential News from Various Newspapers" Taiwan +1 accelerates TSMC's supply chain to the United States, the final piece of the puzzle The anticipated return of U.S. President-elect Trump could significantly impact the technology industry, particularly through potential tariffs. Texas is evolving into a semiconductor development hub alongside Arizona, driven by favorable electricity and land costs. Global Crystal's construction of a new 12-inch silicon wafer plant in Texas, scheduled for completion in 2025, highlights the trend toward local semiconductor manufacturing. Industry experts expect advanced packaging companies to capitalize on new U.S. production opportunities. As TSMC's Arizona plant approaches mass production early next year, the semiconductor supply chain is set for a significant shift. This is part of an investment surge in semiconductor factories across North America. Taiwanese equipment manufacturers are also targeting Texas, with companies like Wanrun, Hongsu, and Junhua likely to benefit as advanced packaging capabilities are established in the U.S. TSMC's 4nm plant in Arizona is on track to achieve monthly outputs of 20,000 to 30,000 pieces. Additionally, ASE plans to expand into Mexico to serve TSMC's advanced packaging needs directly. ASE’s new facility is expected to compete with Amkor for TSMC's packaging and testing orders, indicating increasing rivalry among firms in the region. Local manufacturing integration is crucial, as semiconductor firms such as Hon Hai and Wistron are setting up U.S. bases for final product assembly. While TSMC enhances its manufacturing processes, it retains essential advanced packaging technologies. Legal analyses support the feasibility of developing sophisticated packaging capabilities in the U.S., suggesting that significant advancements in U.S. semiconductor production are achievable in the near future. #Semiconductors #Taiwan https://lnkd.in/gp7a9EcB