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EXCLUSIVE

Meridian Semiconductor approves $18bn expansion for next-generation 1.8nm foundry

The board greenlights a second mega-fab in Taichung to meet surging demand for custom hyperscaler accelerators and automotive compute.

Wen-Liang Chu
ByWen-Liang Chu
5 min read
Silicon wafer packaging facility in Hsinchu
Meridian Semiconductor is preparing an $18 billion capital outlay for its next-generation 1.8nm fabrication site.Credit: StratIQ Markets / Taipei

Meridian Semiconductor has formally approved an $18.4 billion capital expenditure plan to construct Fab 12, a dedicated 1.8-nanometer extreme ultraviolet (EUV) production facility in Taichung Science Park.

The investment, confirmed by two board members with direct knowledge of the vote, represents the largest single semiconductor manufacturing commitment in the region since 2022. Groundbreaking is scheduled for October, with commercial wafer output targeted for the third quarter of 2028.

Fab 12 Project Specifications

StratIQ Data
Total CapEx
$18.4 Billion(Phased over 4 years)
Process Node
1.8nm (GAA-FET)(High-NA EUV lithography)
Monthly Capacity
45,000 Wafers(300mm standard)
Anchor Customers
4 Hyperscalers(Advance capacity contracts)

High-NA Tooling and Power Infrastructure

The new fab will house eight High-NA EUV lithography scanners. To support the site's estimated 240-megawatt peak load, municipal utility operators have committed to constructing a dedicated high-voltage substation paired with 600MWh of on-site battery storage.

"Customer demand for sub-2nm silicon with custom packaging interconnects has outstripped our existing cleanroom floor plans by more than 160 percent."

Meridian Executive Briefing
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Meridian shares gained 3.8% in early trading, lifting suppliers across the lithography chemical and automated handling sectors.

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