May 23, 2005 – Taiwan Semiconductor Manufacturing Company Limited (TSMC) is advising the senior officials of the local government of Taiwan to allow the group to set up 0.18-micron process chip plant in the Chinese mainland as soon as possible, according to SinoCast.

On May 16, 2005, Morris Chang, chairman of TSMC, urged Frank Hsien, the head of the Executive Yuan of Taiwan, to give green light to the Taiwan-based semiconductor makers to build up 0.18-micron chip plant in the mainland at once. Otherwise, its customers will turn to the 0.18-micron chip plants that has started operation in the mainland.

Hsien said that he knew the Taiwanese semiconductor makers had been suffering great competition and he would advise the government to review the restriction on investment in the Chinese mainland by the Taiwan-based chipmakers. The governor of the Taiwan and its safety agency would reconsider the current cross-strait policy between Taiwan and the mainland.

TSMC plans to obtain approval to set up a 300mm wafer plant with 0.09-micron process on the mainland in 2007, in order to catch up with the leading mainland-based counterparts, who have started using 0.18-micron processes, even 0.13-micron processes at present.