en.Wedoany.com Reported - On July 12, the Southern Taiwan Science Park Administration initiated the construction of the Chiayi Science Park Phase II base and held a groundbreaking ceremony. Covering approximately 90 hectares, the Phase II base will center on TSMC's advanced packaging facilities, with simultaneous construction of park roads, water supply, wastewater treatment, and other public utilities. The plan aims to connect Chiayi Phase I and Phase II into a large-scale semiconductor packaging manufacturing cluster.
According to current plans, TSMC will build a third and fourth advanced packaging plant in Chiayi Science Park Phase II. The first advanced packaging plant in Phase I began mass production in June 2026, and the second plant is also progressing toward production readiness. With the launch of Phase II, the Chiayi base will expand from two advanced packaging facilities to four, increasing packaging capacity needed for AI chips and high-performance computing chips.
This groundbreaking involves not only individual factory buildings but also land development and public works for the entire Phase II park. Advanced packaging production requires cleanrooms, stable power supply, industrial water, wastewater treatment, specialty gases, precision temperature control, and high-speed logistics. The Southern Taiwan Science Park Administration stated that the park's wastewater treatment plant, water distribution tanks, and multi-purpose buildings are also under simultaneous construction, ensuring that public infrastructure aligns with the company's factory construction schedule.
Advanced packaging is primarily used to integrate logic chips, high-bandwidth memory, and other chiplets into a single packaging system. AI servers' increased demands for chip-to-chip data transmission speed and packaging density have driven growth in technologies like CoWoS. TSMC is expanding related capacity to alleviate packaging supply pressure faced by AI chip design companies.
Chiayi Science Park Phase II is expected to complete overall development by 2031. Relevant authorities in Taiwan, China, estimate that once all Phase I and Phase II facilities are fully operational, the park's annual output value could exceed NT$300 billion, creating over 9,000 jobs. These figures are based on planned projections after the park's full completion and do not represent current actual output or employment levels.
Currently, public works for Phase II have officially commenced, and TSMC's related advanced packaging plants are also under construction. The project party has not yet disclosed the cleanroom area, specific packaging technology configurations, monthly capacity, or phased production timelines for the third and fourth plants. Therefore, at this stage, it should be stated that the park and factories are entering the construction phase, rather than that new capacity has been released to the market.
