TSMC’s Germany venture hits milestone

BUILDER’s RITES: The topping out ceremony is held when a project being built has its highest point laid out, a sure sign that TSMC’s European project is making solid progress

• Staff writer, with CNA, Berlin

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A “topping out” ceremony was held on Monday at a plant under construction in Germany by Taiwan Semiconductor Manufacturing Co (TSMC, 台積電), indicating that the fab is progressing as planned and within budget, the head of a joint-venture company in charge of the project said.

A topping out ceremony is the construction milestone of laying the final beam or structural piece at the highest point of a building, and it honors the construction crew, architects and engineers.

European Semiconductor Manufacturing Co (ESMC) president Christian Koitzsch said that about 2,000 workers from 106 countries are working around the clock at the site in Dresden, and he is confident that construction would be completed on schedule, according to a report by German newspaper Sachsische Zeitung.

A sign of European Semiconductor Manufacturing Co is pictured at the construction site of the company’s chipmaking plant in Dresden, Germany, on Monday.

Photo: CNA

ESMC is a joint venture between TSMC, Robert Bosch GmbH, Infineon Technologies AG and NXP Semiconductors NV, established to build the advanced semiconductor fab in Dresden, the capital of the German state of Saxony.

The topping out ceremony, or Richtfest as it is called in Germany, being held 25 months after the groundbreaking was an achievement for the construction team, the report cited Koitzsch as saying.

The next milestone for the fab would be the installation of the first manufacturing process equipment in the second half of next year, Koitzsch said.

Before production can begin, the interior of the fab’s cleanroom must be completed, the automated material handling system installed, and infrastructure work completed, including electricity and water supply, the report said.

Saxony Premier Michael Kretschmer, who attended the ceremony, said the state hoped to continue participating in Europe’s semiconductor industry initiatives and that more suppliers and companies would settle in Dresden following the European Commission’s proposal for a Chips Act 2.0, according to the report.

Dresden Mayor Dirk Hilbert estimated that 15,000 to 20,000 workers would move to the area by 2030, including about 600 TSMC engineers and their families, as well as personnel from the company’s suppliers who are expected to move there next year, the report said.

The city is preparing to establish a more systematic economic area to meet projected demand for residential, industrial and commercial land, investment promotion and economic development when fab starts production, he said.

Dresden has held events introducing Taiwanese culture to local residents and to welcome Taiwanese workers, he said, adding that the city hopes to host a Taiwanese night market.