Taiwan’s TSMC says there are no plans at this time to build factories in Europe

0

Taiwan Semiconductor Manufacturing Company (TSMC) Chairman and Co-CEO Mark Liu attends an investor conference in Taipei, Taiwan April 13, 2017. REUTERS/Tyrone Siu

Join now for FREE unlimited access to Reuters.com

Register

TAIPEI, June 8 (Reuters) – Taiwan Semiconductor Manufacturing Co Ltd (TSMC) (2330.TW) said on Wednesday it had no concrete plans for factories in Europe – remarks that come amid efforts to the European Union to encourage Taiwanese companies to manufacture chips there.

With many industries suffering from a global shortage of semiconductors, Taiwan and the EU held high-level trade talks last week with chip cooperation high on the agenda. In February, the EU unveiled the European Chips Act, with the bloc mentioning Taiwan as one of the “like-minded partners” that Europe would like to work with. Read more

TSMC, the world’s largest contract chipmaker and Asia’s most valuable publicly traded company, signaled a year ago that it was in the early stages of reviewing a potential expansion in Germany, but there appears to have been no substantial progress since then.

Join now for FREE unlimited access to Reuters.com

Register

“In Europe, we have relatively fewer customers, but we are still evaluating and still do not have concrete plans,” Chairman Mark Liu told an annual meeting of shareholders.

TSMC is spending $12 billion on chip factories in the United States and is building a factory with Sony Group (6758.T) in Japan to help ease the global chip shortage.

Liu said the company is seeing higher-than-expected costs for its U.S. expansion. “But we can deal with it,” he added.

TSMC also said it expects revenue growth of around 30% this year, on the upper end of a previous forecast, as chip shortages keep order books full and prices high.

Join now for FREE unlimited access to Reuters.com

Register

Reporting by Sarah Wu and Yimou Lee; Written by Ben Blanchard; Editing by Muralikumar Anantharaman and Edwina Gibbs

Our standards: The Thomson Reuters Trust Principles.

Share.

Comments are closed.