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TSMC accelerated the planned opening of its wholly owned Nanjing, China, fab to June 2018 because demand in China was growing quickly and the company wanted to serve local customers from inside the market. The facility was planned for 20,000 12-inch wafers per month, with an investment of about $3 billion. It was not a move of TSMC’s most advanced technology to China: the 2017 plan called for 16nm production in Nanjing, while Taiwan remained home to its most advanced processes and core research and development.
What TSMC accelerated—and when
On December 8, 2017, EE Times reported that TSMC planned to “pull in” the opening of its Nanjing fab to June 2018. The earlier schedule had targeted 16nm production in the second half of 2018. The report described the June date as the planned opening; it does not establish that production began on that date. EE Times, December 8, 2017
Why it moved the schedule forward
The stated driver was strong demand in what the report called the world’s fastest-growing semiconductor market. Building local foundry capacity put TSMC closer to customers and their demand in China, where domestic foundries were also expanding. TSMC had previously explained the broader business rationale for operating in mainland China: in a September 9, 2002 announcement, chairman Morris Chang cited both the region’s emerging, potentially immense IC market and the particular characteristics of mainland China’s semiconductor market. The release said TSMC believed it would be difficult to gain market share without providing foundry services locally. TSMC, September 9, 2002
Market figures cited in the 2017 EE Times report were forecasts, not present-day measurements: IC Insights projected China pure-play foundry sales of $7 billion in 2017, up 16% from 2016, and estimated that TSMC would account for about 46% of China’s foundry revenue, or roughly $3.2 billion. Those figures help explain the commercial context for the acceleration, but should not be read as current market shares or sales.
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Planned scale and investment
The 2017 plan set Nanjing’s capacity at 20,000 12-inch wafers per month and investment at approximately $3 billion. Those were planned figures reported at the time, not a current capacity or a verified final project cost. For context, TSMC’s earlier China initiative was a proposed wholly owned Shanghai subsidiary announced in 2002: an 8-inch fab planned for 35,000 wafers per month, total investment of $898 million, and processes at 0.25 micron or older. The Shanghai proposal and Nanjing plan were different projects announced at different times. TSMC, September 9, 2002; EE Times, December 8, 2017
Did TSMC move its most advanced technology to China?
No—not according to the 2017 report. Nanjing was preparing for 16nm production, while TSMC’s most advanced process technologies, key production lines, and core R&D remained in Taiwan under Taiwan government regulations. The report also said TSMC planned to begin 7nm production in Taiwan the following year. The distinction is between adding a substantial local manufacturing presence and relocating the company’s most advanced technology: the reported plan did the former, not the latter. EE Times, December 8, 2017
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What TSMC’s current reported China footprint shows
TSMC’s 2025 annual report lists ongoing manufacturing capacity in China at two wholly owned subsidiaries: TSMC Nanjing Company Limited operates a 12-inch wafer fab, and TSMC China Company Limited operates an 8-inch wafer fab. The same report lists two other 12-inch fabs at wholly owned subsidiaries, including TSMC Arizona Corporation, and an 8-inch fab at TSMC Washington. This confirms that TSMC still reports a China manufacturing footprint, but the cited facility summary does not provide Nanjing’s current monthly capacity, current process nodes, or a comparison of output among these sites. TSMC 2025 Annual Report
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- IC Type: Semiconductor
- Each wafer fragment contains visible integrated circuit patterns for demonstration and display purposes only.
- Made from single-crystal silicon wafer material for authentic semiconductor teaching and research.
- Ideal for electronics courses, microfabrication demonstrations, and STEM student projects.
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- AUTHENTIC SILICON SAMPLE: Real silicon wafer die sample featuring genuine wafer surface patterns, designed for semiconductor learning, research demonstration, and technology display purposes.
- NON-FUNCTIONAL SPECIMEN: This silicon sample is a display and educational specimen only. It is not an electronic component and does not perform computing or electrical functions.
- SEMICONDUCTOR EDUCATION USE: Suitable for classrooms, laboratories, engineering courses, STEM activities, and demonstrations of wafer structures and semiconductor manufacturing concepts.
- TECHNOLOGY DISPLAY ITEM: Ideal for exhibitions, science displays, collections, and demonstrations related to microelectronics and semiconductor technology.
- INDIVIDUAL PACKAGING: Each sample is separately packaged to help maintain surface cleanliness and reduce scratches during storage and handling.
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