TSMC’s second factory in Japan to produce advanced AI semiconductors to meet rising demand
Published on February 6, 2026

(Image Credit:Briáxis F. Mendes (孟必思), CC BY-SA 4.0, via Wikimedia Commons)
Source:
The Associated Press
Taiwan Semiconductor Manufacturing Co. (TSMC) announced on Thursday that it will produce some of the world’s most advanced semiconductors in Japan to address rising demand related to artificial intelligence. This move supports Japan’s ambitions in chip manufacturing.
TSMC, a major supplier to companies including Nvidia and Apple, stated it plans to manufacture 3-nanometer semiconductors at its second factory in Kumamoto Prefecture, Japan, which is currently under construction. These advanced chips are used in applications such as AI products and smartphones.
The decision by TSMC, the world’s largest contract chipmaker, represents a significant development for Prime Minister Sanae Takaichi ahead of a general election on Sunday. She aims to secure public support for her policies amid high approval ratings.
The announcement was made during a meeting in Tokyo between Takaichi and TSMC’s CEO and Chairman, C.C. Wei. Takaichi remarked that the project is very meaningful for Japan’s economic security and expressed a desire for it to proceed as planned.
The advanced chips to be manufactured in Kumamoto will be utilized in AI, robotics, and autonomous driving. These sectors have been designated as strategically important by Takaichi’s cabinet.



