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A multitude of cutting-edge chips will leverage TSMC’s 2nm process next year, with the world’s largest semiconductor manufacturer already taking orders for its wafers from April. For years, TSMC has relied on Chinese chipmaking equipment to meet ambitious production goals. However, due to pressure from U.S. authorities, a new report states that TSMC is phasing out these tools in favor of alternatives.
TSMC initially planned to replace existing Chinese chipmaking tools for its 3nm process but found the transition too complex and risky. Full-scale production of 2nm wafers is expected later this year at TSMC’s Hsinchu plant, followed by facilities in Kaohsiung and a new plant under construction in Arizona.
According to Nikkei Asia, TSMC’s decision to remove Chinese chipmaking tools stems from anticipated U.S. regulations such as the proposed China EQUIP Act, which prohibits chipmakers from receiving U.S. funding if they continue using equipment supplied by foreign entities that pose a national security concern, particularly those from China.
TSMC has used Chinese-made tools from companies like AMEC and Mattson Technology in past technologies but is now phasing them out for its Taiwan and U.S. operations. It’s unclear whether this decision is due to the perceived inferiority of these tools or to appease the U.S. administration. Additionally, TSMC is reviewing all materials and chemicals from China to reduce dependency on the region.
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TSMC plans to have four fully operational plants next year, with approximately 60,000 monthly wafer outputs on the 2nm process, aimed at satisfying client demand.
