TSMC’s Chang sees 8-inch investment in mainland

Taiwan – Taiwan Semiconductor Manufacturing Co. chairman Morris Chang said he was still optimistic about Taiwan’s economic future and a possible government green light on 8-inch silicon wafer foundry investment in mainland China.

Chang’s declaration came after meeting with Christine Tsung, Taiwan’s minister of economic affairs.

Tsung told the press after the one-hour meeting with Chang that the good news will definitely be released after the Chinese New Year, the Financial Times reported.

The first big decision Tsung will make following her appointment as economics minister is to allow Taiwan’s semiconductor makers to set up 8-inch foundries in the mainland, the Times reported.

In order to fully communicate with industry leaders, Tsung has arranged meetings with Chang and Robert Tsao, chairman of United Microelectronics Corp. to ask the advice of the island’s entrepreneurs.

Chang has already expressed his opinions regarding the setting up of 8-inch foundries in mainland China. He said he took an optimistic view regarding the issue of lifting the ban on silicon wafer foundry investments in mainland China.

Chang Jung-fa, chairman of Evergreen Group, and Wang Yung-tsai, vice chairman of Formosa Plastics Group, recently expressed their views on the future of Taiwan’s economic development.

They pointed out that the future development of Taiwan’s economy depends on mainland China. If the relationship between Taiwan and mainland China is not settled satisfactorily, both Chang Jung-fa and Wang Yung-tsai said the future of Taiwan’s economy does not look promising.

One of the conclusions of the Economic Development Advisory Conference held in August last year was to allow Taiwan’s silicon wafer foundries to move their 8-inch wafer production equipment to mainland China as Taiwan’s leading semiconductor plants have migrated to 12-inch wafer production technology.

As Grace Semiconductor Manufacturing Corp. and Semiconductor Manufacturing International set up their huge plants in Shanghai and Beijing, the relocation of Taiwan’s used 8-inch equipment to mainland China is a important step for Taiwan foundries to remain competitive.


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