The chip giant is still conducting detailed inspections of the factory in southern Japan to assess the impact of the earthquake. TSMC, the world's largest wafer foundry, said that a 7-magnitude earthquake hit southern Japan on Tuesday and that its local factories have gradually resumed work and production.
TSMC issued a statement saying that the main structure of the factory building is safe and that it is still conducting comprehensive maintenance and disaster impact assessment at this stage. It has not yet been confirmed whether the wafers and production equipment inside the factory have been damaged. After the earthquake, the entire factory was evacuated immediately, and all factory workers were safe.
TSMC’s Kumamoto factory is located in southern Kumamoto Prefecture, Japan and will be officially put into production in 2024. At the same time, the company is building a second new factory using advanced manufacturing processes. TSMC said that the construction site of its second factory was not damaged by the earthquake, but it has suspended some construction operations at the site to prevent the risk of aftershocks.
TSMC's arrival in Kumamoto is part of the Taiwanese company's supply chain diversification strategy, which aims to hedge against potential geopolitical risks and better meet the needs of local customers such as Japanese car companies.