TSMC has invested and set up factories in the United States, Japan, Germany and China, and received NT$4.77 billion in government subsidies in the third quarter. It has received a total of NT$71.898 billion in government subsidies in the first three quarters, and a total of NT$147 billion in subsidies in the past two years.

According to TSMC’s financial report, TSMC Arizona, ESMC, JASM and TSMC Nanjing have received local government subsidies for setting up and operating factories in the United States, Germany, Japan and China, which are mainly used to subsidize the purchase costs of real estate, factories and equipment, as well as part of the costs and expenses incurred in building factories and production operations.

After receiving 67.128 billion yuan in government subsidies in the first half of the year, TSMC received another 4.77 billion yuan in subsidies in the third quarter. In the first three quarters of this year, it received a total of 71.898 billion yuan in subsidies; combined with 75.164 billion yuan in subsidies last year, TSMC received a total of 147 billion yuan in subsidies in the past two years.

TSMC pointed out that TSMC Arizona, ESMC, JASM and TSMC Nanjing have signed subsidy contracts with local governments. The contract content includes the factory construction schedule and other conditions that should be observed. In addition, TSMC Arizona must apply for an investment subsidy of 25% of the investment amount for qualified investments.

TSMC’s first wafer fab in Arizona, USA, will mass-produce the 4-nanometer process in the fourth quarter of 2024. The second wafer fab has completed construction and will mass-produce the 3-nanometer process, and is accelerating mass production progress. TSMC plans to invest US$165 billion in Arizona to build six wafer fabs, two advanced packaging plants and an R&D center.

TSMC’s first wafer fab in Kumamoto, Japan, will be put into mass production at the end of 2024. The construction of the second fab has already begun. The mass production plan depends on customer demand and market conditions. Construction of the Dresden plant has begun and is progressing well. Mass production plans will also depend on customer demand and market conditions. TSMC’s Nanjing plant will add 28nm production capacity in 2022.