TSMC will upgrade its Kumamoto, Japan fabrication plant to produce advanced 3-nanometer chips. The facility is scheduled to begin this production by late 2027. This shift replaces the original plan to manufacture 7-nanometer nodes.
Total investment in the expansion will increase to ¥2.6 trillion ($17 billion). The project aligns with Japan’s domestic chipmaking goals under Prime Minister Sanae Takaichi.
The Japanese government has allocated ¥1.23 trillion for cutting-edge semiconductor support in fiscal year 2026. TSMC CEO C.C. Wei met with Takaichi on February 5 to discuss the initiative.