TSMC, which is making an unprecedented push into chip manufacturing overseas, is taking an increasingly optimistic view of Japan as a production base, two industry sources said, as problems persist at its new factory in Arizona.
TSMC, the world's largest contract chipmaker, is frustrated in Arizona, the sources said, where it has struggled to recruit workers for the gruelling chipmaking trade and faced pushback from unions on efforts to bring in workers from Taiwan.
The company has growing confidence in Japan, where an $8.6 billion fab under construction in a chipmaking hub on the island of Kyushu is on track to start producing mature-technology chips in 2024, the sources said.
While keen to ensure a smooth ramp up at the first fab, the chipmaker is considering adding capacity and a second fab in Japan, the sources said, which could include the production of more advanced chips.
Several chip industry sources spoke to Reuters about TSMC's view of Japan and its global expansion on condition of anonymity because of the sensitivity of the matter.
Successful expansion by TSMC in Japan could give a boost to efforts by the country to regain its lost status as a chip manufacturing powerhouse and support its automotive and electronics industries amid growing regional competition.
TSMC said in a statement its overseas expansion depends on factors including the needs of customers,