Nichida visits Taiwan TSMC Kumamoto plant inspection: "Full policy mobilization for support"

"Expectations for Investment Activation"

Japanese Prime Minister Fumio Kishida inspected the first factory of Taiwan's TSMC, the world's No. 1 foundry (semiconductor contract manufacturing) company, located in Kumamoto Prefecture, Kyushu, Japan, on the 6th, Kyodo News reported.

During the inspection, Prime Minister Kishida met with TSMC CEO Wei Zhejia and local small and medium-sized business representatives to exchange opinions.

After the inspection, speaking to reporters, he mentioned the rising local wages due to TSMC's entry and said, "I hope this will spread nationwide and activate investment," expressing his intention to support the business by stating, "We will mobilize all policies."

[Image source=AP Yonhap News]

TSMC's first factory in Kumamoto Prefecture, Japan, is a site where Japan has been aiming to revive its semiconductor industry with large-scale budget support. The Japanese government has decided to provide subsidies of up to 476 billion yen (approximately 4.2 trillion won), nearly half of the facility investment amount. The opening ceremony was held in February, and mass production is expected to start around the fourth quarter of this year.

During the meeting with Prime Minister Kishida, CEO Wei Zhejia reportedly mentioned plans to build a second factory in Kumamoto Prefecture, saying, "We will strive to provide quality employment and build strong relationships with local companies."

The Japanese government also plans to support about 730 billion yen (approximately 6.5 trillion won) for the second factory that TSMC aims to operate by the end of 2027 in Kumamoto Prefecture.