TSMC’s annual Supply Chain Management Forum opens on Tuesday in Taiwan, gathering around 100 vendors to discuss capital spending and advanced manufacturing expansions, serving as a key indicator for institutional investors on the chipmaker’s investment plans.
The forum represents TSMC’s largest yearly event for global equipment and materials partners. Institutional investors rely on it to gauge the company’s capital expenditure and the speed of its push into cutting-edge production methods, as reported by CTEE. For this year, TSMC’s capital spending stands at more than NT$1.26 trillion, equivalent to US$40 billion. Certain analysts forecast that these outlays might climb to US$50 billion in total. This level of investment draws fresh scrutiny to suppliers throughout the semiconductor supply chain.
During the forum, TSMC plans to emphasize its forthcoming 2-nm and A16 process technologies. These advancements bring specific manufacturing challenges, including back-side power delivery systems and techniques for handling ultra-thin wafers. Such innovations require enhanced capabilities in production processes. As a result, demand rises for particular materials and equipment tailored to these needs. Companies positioned to gain include Kinik Co., which produces grinding products essential for wafer processing; Praise Victor Industrial Co., a supplier of polishing pads used in surface refinement; and Phoenix Silicon International Corp., which delivers semiconductor process services to support fabrication operations.
Suppliers involved describe the current year’s forum as carrying stakes that “far exceed previous years.” They point out that disclosures regarding TSMC’s expansion strategies for 2-nm and A16 technologies will shape decisions on procuring materials, acquiring equipment, and expanding facility capacities. Contractors note that demand in these areas continues to show strength. This forum provides critical direction for long-term commitments in the supply chain.
TSMC has adjusted its project awarding practices, moving from a one-year lead time to preparations extending two years into the future. This change stems from more defined schedules for expansions. To maintain momentum on international initiatives, the company boosts local hiring at its overseas facilities. Enhanced visibility into orders enables factory-service providers to align construction schedules more effectively. Analysts identify United Integrated Services Co., Marketech International Corp., and L & K Engineering as initial recipients of benefits, driven by expanding order pipelines in construction and facility setup.
For suppliers of consumables in advanced nodes, adoption of 2-nm technology has picked up pace starting from the fourth quarter. They project TSMC’s monthly 2-nm wafer production to hit 40,000 units by the end of this year. This figure anticipates a 50 percent increase by the middle of 2026. Further growth projects it to double, reaching 80,000 to 90,000 wafers per month by the latter part of next year. Analysts foresee that revenues from 2-nm consumables will match the present levels for 3-nm processes sometime between 2027 and 2028. This trajectory indicates that the 2-nm node will emerge as a primary production focus for TSMC by 2027.
