TSMC Reaches Key Milestone with N2 Process at Kaohsiung Fab 22

Taiwan Semiconductor Manufacturing Company (TSMC) has marked a pivotal achievement with the first wafer exposure using its advanced N2 process technology at the Kaohsiung Fab 22 facility. This development signals the company's readiness to begin volume manufacturing of next-generation semiconductors by late 2025, reinforcing TSMC’s leadership in the global chip industry.

The milestone comes as Phase 1 of the Kaohsiung Fab 22 project nears completion, while equipment installation for Phase 2 is already underway following the facility’s groundbreaking in August. Originally announced in 2021 for mature node production at 7 nm and 28 nm, the site has since been reconfigured to support state-of-the-art semiconductor processes. This strategic shift was driven by surging demand for advanced chips powering mobile devices, artificial intelligence (AI), and high-performance computing (HPC) applications.

TSMC’s investment in the Kaohsiung complex totals NT$1.5 trillion and spans six development phases. This substantial commitment is set to transform southern Taiwan into a major hub for sub-2 nanometer chip manufacturing, further strengthening the region’s role in the global semiconductor supply chain.

Strategic Roadmap for Advanced Semiconductor Production

The production roadmap for Kaohsiung Fab 22 highlights TSMC’s strategic approach to meeting the escalating needs of the AI and HPC markets. Phase 2 is targeted to achieve volume production by the second quarter of 2026, aligning with the industry’s traditional third-quarter procurement cycle when leading clients place orders for flagship products.

Future phases of the project will introduce even more advanced semiconductor technologies. These include the A16 process variant, which features backside power delivery, and the A14 node, utilizing gate-all-around (GAA) nanosheet transistors, anticipated by 2028. This aggressive timeline positions TSMC ahead of international competitors, particularly its Arizona operations, which have faced delays in reaching comparable technological milestones.

The Kaohsiung Fab 22 facility is a key component of TSMC’s broader manufacturing network, which also includes Hsinchu’s Fab 20 and the upcoming Taichung Fab 25. This network provides TSMC with the flexibility to scale production and adapt to evolving global semiconductor demand, ensuring the company remains at the forefront of advanced chip manufacturing.