Tuesday, January 26th 2021
TSMC to Put Away More Capacity for Automotive Industry if Possible
TSMC is one of the world's biggest semiconductor manufacturers, and the company is currently the leading provider of the newest technologies like 5 nm and 3 nm, along with advanced packaging. So far, TSMC's biggest customers have included Apple, NVIDIA, AMD, etc., where the company has mainly produced chips for mobile phones and PCs/Servers. However, Taiwan's Economics Ministry has announced that they have spoken to TSMC and have reached an agreement that the company will be putting away some additional capacity for the automotive industry, specifically for the production of automotive chips. The reason for this push is the increasing shortage of semiconductors for automakers, experienced due to the Trump administration sanctions against key Chinese chip factories.
TSMC has stated that "Other than continuously maximizing utilization of our existing capacity, Dr. Wei also confirmed in our investors' conference that we are working with customers closely and moving some of their mature nodes to more advanced nodes, where we have a better capacity to support them". The company also states that their capacities are fully utilized for now, however, TSMC has ensured ministry that "if production can be increased by optimizing production capacity, it will cooperate with the government to regard automotive chips as a primary application." That means that TSMC will not decrease any existing capacity, but rather just evaluate any increased capacity for automotive chip production.
Source:
Reuters
TSMC has stated that "Other than continuously maximizing utilization of our existing capacity, Dr. Wei also confirmed in our investors' conference that we are working with customers closely and moving some of their mature nodes to more advanced nodes, where we have a better capacity to support them". The company also states that their capacities are fully utilized for now, however, TSMC has ensured ministry that "if production can be increased by optimizing production capacity, it will cooperate with the government to regard automotive chips as a primary application." That means that TSMC will not decrease any existing capacity, but rather just evaluate any increased capacity for automotive chip production.
18 Comments on TSMC to Put Away More Capacity for Automotive Industry if Possible
If you can't win the game make it so your opponent can't play.
What would be fair in your opinion that everyone has to be mandated to pay the same amount of money ? Really ?
Any implied import tariff will pass down to consumer who bought it, not to a country who produced it. It "beneficial" if you has home grown GPU, but if you don't, then gradually inflation might happen.
Let me get this straight, US companies can make use of cheap workforce from China but then competition from China itself is unfair and should be taxed extra ? You've got to be kidding me, the only entity here being unfair is the US itself for wanting to use borderline slave work and have no competition.
You don't get to simultaneously profit from another country and decide what's "fair" and what's not, what a joke.
www.democracynow.org/2020/1/9/inside_chinas_push_to_turn_muslim
www.aspi.org.au/report/uyghurs-sale
www.business-humanrights.org/en/latest-news/china-83-major-brands-implicated-in-report-on-forced-labour-of-ethnic-minorities-from-xinjiang-assigned-to-factories-across-provinces-includes-company-responses/
It was always a dream and we're now slowly waking up. Slowly. Hopefully in the right way and not the grumpy way because then we start shooting.