SMIC to build $8.87bn Shanghai chip plant in challenge to TSMC

Chinese contract chipmaker looks to meet demand for lower-end semiconductors

20210903 SMIC

SMIC's planned Shanghai plant will make older-generation chips that are currently in short supply for everything from consumer electronics to self-driving cars. © AP

CHENG TING-FANG, Nikkei staff writer

TAIPEI -- China's top chipmaker said on Friday that it will build a nearly $9 billion chip plant in Shanghai, challenging global leader Taiwan Semiconductor Manufacturing Co. amid an industrywide rush to expand capacity.

The plant will be Semiconductor Manufacturing International Corp.'s biggest investment in years and will churn out older-generation chips that are currently in short supply for everything from consumer electronics to self-driving cars.

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