Catenaa, Monday, May 26, 2025-Taiwan Semiconductor Manufacturing Company (TSMC), the world’s largest contract chipmaker, has turned down offers from India, Qatar and Singapore to build advanced semiconductor manufacturing facilities, according to a news report from Taiwanese tech publication DigiTimes.
The decision marks a notable setback for the three countries, each of which had hoped to attract TSMC to bolster their ambitions in the global semiconductor race.
Despite offering generous incentives, these nations were denied, with TSMC citing labor shortages and concerns over the viability of advanced manufacturing in these markets.
While the company has been actively expanding internationally—with multi-billion dollar fabs underway in the US and Japan—it remains selective about new locations.
TSMC has already committed over $100 billion in US investments and recently began producing 4-nanometer chips at its Arizona facility.
It has also announced additional capacity in Japan, where it benefits from a strong raw materials and supplier ecosystem.
The firm’s close ties with tech giants like Apple and NVIDIA have helped solidify demand in markets like the US, which has been key to TSMC’s overseas expansion decisions.
The company maintains that new fabs are driven by customer demand, stable supply chains, and the availability of skilled labor.
In contrast, the rejected nations were seeking to host “leading-edge” fabs, not older-generation plants.
But such facilities require massive capital expenditure, highly specialized workers, and long-term demand assurance—factors TSMC apparently found lacking in Qatar, India and Singapore.
Qatar reportedly remains eager and may offer further subsidies in an attempt to sway TSMC’s decision.
