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TSMC says car chip supply will improve in Q3

2021-04-17  English News
TSMC says car chip supply will improve in Q3
圖說 : TSMC says car chip supply will improve in Q3

Hsinchu, April 15 (CNA) Taiwan Semiconductor Manufacturing Company (TSMC) forecast an improvement in the supply of car chips this year, saying on Thursday that the situation will improve in the third quarter.

Speaking at an online investor conference, TSMC chief executive officer C. C. Weisaid the current chip shortage facing the global automobile industry will largely improve in Q3 thanks to increased production at the company.

Wei said TSMC has been doing its utmost to meet demand from its clients amid the acute car chip shortage since the fourth quarter of last year.

In response, TSMC announced in January that it would give top priority to car chips to help desperate automakers navigate the difficulties that have disrupted production. The situation has since been compounded by the frigid weather in the U.S. state of Texas and a recent fire at a Japanese chip plant.

The world's largest contract chipmaker raised its capital expenditure to US$30 billion and upgraded its sales growth guidance to 20 percent for 2021 at the investor conference.

In terms of TSMC's competition with Intel Corporation, Wei called it an important client and strong competitor.

He promised that TSMC will continue to maintain its competitive edge, focus on excellent manufacturing and building client trust in the company, as it seeks to underscore its role as a long-term trust-worthy supplier of semiconductors.

Turning to the ongoing drought faced by two-thirds of Taiwan, the worst in 56 years, Wei said TSMC has several backup plans to address the water shortage crisis in cooperation with both private and government sectors.

"I don't expect it to have a major impact on TSMC's operations," he said.

In terms of the company's overseas deployment, We said its plant in Phoenix, Arizona is set to break ground this year and to start mass production of 12-inch wafers using 5- nanometer technology in 2024, while its Nanjing plant in China will also expand production to better serve clients.

Wei said TSMC expects 10-15 percent compound annual growth in sales from 2020-2025, a sign the company is optimistic about its long-term development, according to market observers.

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