TSMC expands Kaohsiung packaging R&D
A new facility in Kaohsiung will support advanced packaging testing, process development and supplier integration as demand for AI-related packaging capacity increases.
TSMC is expanding its presence in Kaohsiung with a new facility focused on testing and validating advanced packaging materials and equipment.
The company is working with Taiwan’s Ministry of Economic Affairs and Kaohsiung City government to develop a 3-hectare site at Baipu Industrial Park. The facility will include modular cleanrooms and laboratories for testing and joint development of packaging technologies, equipment and materials.
According to TSMC Vice President of Advanced Packaging Technology and Service Jun He, the facility is expected to improve validation efficiency by 25–50%. It will also support process research and development and include a training centre for advanced packaging process and equipment specialists.
The site is intended to strengthen links between local suppliers and TSMC’s manufacturing operations, allowing equipment and materials to be evaluated and validated before deployment in high-volume production environments.
The expansion comes as AI workloads continue to drive demand for advanced packaging. TSMC expects its Chip-on-Wafer-on-Substrate (CoWoS) capacity to grow at a compound annual rate of more than 80% from 2027 to 2029, according to He.
The modular design of the Kaohsiung facility is also intended to allow its capabilities to evolve as packaging processes and technologies change. The move highlights the growing importance of dedicated testing, process development and supplier integration infrastructure as advanced packaging scales towards higher-volume manufacturing.
