Taiwan Semiconductor Manufacturing Co. (TSMC) plans to begin construction of its fourth and fifth chip fabrication plants in Kaohsiung, southern Taiwan, in 2025.

This move is part of TSMC’s strategy to expand its production capabilities in response to global industry changes and increasing competition.

These new facilities, P4 and P5, are part of TSMC’s goal to establish five fabs in the city by 2027.

The expansion will create around 8,000 jobs, with construction next to the existing P3 fab.

TSMC’s first fab, P1, will begin mass production of 2nm process chips in 2025, while P2 is set for completion next year and P3 by 2026.

Recent TSMC developments