TSMC and the Tainan City Government signed a 50-year land-use agreement. The contract covers 22 industrial plots designated for chip plant expansion. This arrangement allows TSMC to construct new facilities without purchasing the land. The expansion aims to meet rising global demand for high-end semiconductor manufacturing. This project solidifies Tainan’s position as a critical hub for the domestic semiconductor industry. Tainan's mayor emphasized the development's role in supporting the national economy and global technology supply chains. The deal follows a government policy to retain advanced production in Taiwan to strengthen national industrial capabilities.