New TSMC plant tests Japan's ability to design 'good' state subsidies

Tokyo has been a critic of Chinese aid for steel and semiconductors

20211021N TSMC montage

TSMC's proposed plant in Kumamoto, western Japan, is poised to receive government funding. (Nikkei montage)

RYOHEI YASOSHIMA, Nikkei staff writer

TOKYO -- Industrial subsidies are back in favor in Tokyo as Japan prepares a multibillion-dollar support package for Taiwan Semiconductor Manufacturing Co.'s first plant in the country.

Japan is poised to fund up to half the cost of the new plant, which is expected to break ground next year.

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