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TSMC and its partners are building a semiconductor fab in Dresden, Germany, through a joint venture called the European Semiconductor Manufacturing Company (ESMC). The project is expected to cost more than €10 billion, including €5 billion in German state aid approved by the European Commission. Its planned chips target automotive and industrial uses, and production was originally targeted for the end of 2027—a target, not a confirmed commissioning date.
Where is TSMC building its German fab?
The facility is in Dresden, in the German state of Saxony. ESMC held its groundbreaking ceremony there on 20 August 2024, marking the start of initial land preparation. TSMC’s 2025 filing puts the ESMC land area at approximately 513,557 square metres. TSMC’s 2023 joint-venture announcement identified Dresden as the project site, while ESMC’s 2024 groundbreaking release described the ceremony and the project’s intended role.
How much will the Dresden plant cost, and who is paying?
ESMC’s total planned investment is more than €10 billion, according to TSMC’s 2023 announcement and ESMC’s 2024 project release. The European Commission approved a €5 billion German state-aid measure for construction and operation of the facility on 20 August 2024 under EU state-aid rules. That public support is part of the project’s financing; it is not the fab’s total cost. The Commission’s approval notice sets out the aid measure.
Who owns and operates ESMC?
ESMC is a joint venture owned 70% by TSMC and 10% each by Bosch, Infineon and NXP, as announced in 2023. TSMC will operate the fab. That structure gives the three European partners stakes in the venture while placing manufacturing operations with TSMC. TSMC’s announcement provides the ownership and operating details.
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- 5 x 5 inches, 0.67 ounces, 0.03 inches thick. Some wafers are marked with alignment marks.
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- Circuit details can be examined under a microscope.
What chips will the fab make?
The planned process technologies are 28/22 nm planar CMOS and 16/12 nm FinFET. These are specialty and mature-node processes intended for automotive and industrial applications, rather than the newest leading-edge smartphone processors. ESMC describes the project as the EU’s first FinFET-capable pure-play foundry. Its groundbreaking release gives the process and application details.
When fully operational, the facility is expected to produce 40,000 300 mm (12-inch) wafers per month. This is a planned capacity at full operation, not a statement of current production. The figure and process plan appear in ESMC’s project release.
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When will production start?
ESMC’s original 2023 announcement targeted construction in the second half of 2024 and production by the end of 2027. TSMC’s 2025 annual-report website says construction began in 2024 and that its European plans were progressing smoothly. TSMC’s 2026 annual general meeting minutes likewise describe the Dresden plans as progressing smoothly and highlight automotive and industrial applications. Those later updates do not announce a newer production date, so the end-of-2027 date remains the original target, not a guaranteed start. See the original announcement, TSMC’s annual-report information and its annual-meeting materials.
Independent reader supportYour contribution helps us test, update, and keep practical guides available for everyone.Why build a semiconductor fab in Germany?
TSMC has framed the investment as a way to bring its manufacturing capabilities closer to European customers and partners. The venture’s stated focus on automotive and industrial chips reflects the needs of those sectors, while regional production is intended to strengthen supply resilience. German and EU support also fits a broader effort to expand semiconductor capacity and expertise in Europe. The project’s rationale is described in TSMC’s joint-venture announcement and the European Commission’s aid decision.
Quick Recap
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- Diameter: 8 inches (203mm)
- Unique Iridescent Wafer Light Effect - The wafer has premium optical refractive properties that transform into different hues with different light and angles. The dynamic iridescent glow delivers a futuristic tech aesthetic, making it a unique, eye-catching addition to any space.
- Dual-Purpose Display Decoration - Comes with a free matching display stand that can be placed on a table or shelf. It can also be hung on the wall as a minimalist piece of technological art, perfectly matching the decor of your home, study, and office.
- High-End Black Gift Box Packaging - Equipped with a high-end black gift box, no additional packaging is required, very suitable for personal collection and exquisite gift giving
- MULTI-FUNCTIONAL GIFT AND DECORATION - Featuring a stylish, one-of-a-kind design, this wafer ornament is the perfect everyday decoration or a thoughtful gift for tech enthusiasts and friends.
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