On August 12, Taiwan Semiconductor Manufacturing Company (TSMC) announced plans to gradually exit 6-inch wafer production within the next two years as part of efforts to optimize operations and improve efficiency. The company will also continue consolidating its 8-inch wafer capacity to enhance overall performance.

TSMC said the decision reflects both market conditions and its long-term business strategy. It is working closely with customers to ensure a smooth transition and remains committed to meeting client needs during the phase-out, while continuing to create value for partners and the broader market. The move will not affect previously stated financial targets, which include an expected 30% revenue growth in U.S. dollar terms for the year.

Currently, TSMC operates four 12-inch "GigaFabs" in Taiwan, four 8-inch fabs, and one 6-inch fab. Together with its subsidiaries, the company's 2024 annual capacity is equivalent to nearly 17 million 12-inch wafers.

At the same board meeting, TSMC approved a capital budget of approximately US$20.6575 billion to build capacity for advanced process technologies, advanced packaging, mature and specialty nodes, as well as related plant construction and facility projects. The budget aligns with the company's long-term capacity roadmap, which is based on market demand forecasts and technology development plans.

The board also authorized the issuance of up to NT$60 billion in unsecured corporate bonds in Taiwan to fund capacity expansion and green initiatives, and approved an investment of up to US$10 billion in wholly owned subsidiary TSMC Global to reduce foreign exchange hedging costs.