Taiwan Semiconductor Manufacturing Company (TSMC) plans to establish additional semiconductor manufacturing facilities in Europe, according to Wu Cheng-wen, Taiwan’s National Science and Technology Council Minister.

TSMC is constructing its first fabrication plant in Dresden, Germany, with an investment of €10 billion (approximately US$10.9 billion).

Half of this funding is subsidized by the state, and production is expected to begin by the end of 2027.

While TSMC has not determined a specific timeline for additional facilities in Europe, Wu indicated the potential to target various market sectors with future fabs.

The AI chip segment represents a significant growth opportunity for TSMC, especially compared to competitors like Nvidia Corp. and Advanced Micro Devices Inc.