Taiwan’s TSMC drives new growth in Dresden

台灣台積電(TSMC)推動德勒斯登(Dresden)新成長

TAIPEI (Taiwan News) — The arrival of Taiwan Semiconductor Manufacturing Co. in Dresden, Germany, is set to change the city, according to Nikkei Asia.

The company’s joint venture, European Semiconductor Manufacturing Co. (ESMC), will be its first plant in Europe. The fab is scheduled to open by late 2027 and will produce 28-nanometer chips.

TSMC has already brought a few dozen Taiwanese employees and their families to Dresden, per Nikkei. About 2,000 employees and their families will eventually settle there for at least three years.

The figure will rise to about 15,000 when employees and families of ESMC suppliers of other nationalities are included.

Regarding the influx of Taiwanese employees, Dresden Mayor Dirk Hilbert said, “There are no organized protests against the project, and support within city committees is strong,” per Nikkei. “The influx of new residents is expected to significantly increase regional value creation and also strengthen other sectors such as skilled trades, thereby increasing overall purchasing power,” he added.

Kelly Su, president of the Taiwanese Business Association in Dresden, said TSMC’s relocation support differs greatly between its employees and those at smaller supplier companies, Nikkei reported.

“While TSMC has a dedicated department and channels to manage all aspects of employee relocation, supplier company employees often must handle housing and other life needs themselves, creating a support gap our association aims to address,” Su said.

“Some employees may extend their stay with a second contract, while others may transition to local contracts for long-term settlement, indicating a continuous flow of people into Dresden over the coming years,” she added.

TSMC will pay school fees for its employees at the Dresden International School, amounting to about 1,500 euros per student each month.

James Brightman, the school’s director, said, “We are expanding English support and have launched a new Mandarin program for native speakers, taught by a teacher recruited from Taiwan,” according to Nikkei Asia.

ESMC, Dresden, and the state of Saxony are funding a new building at the school to expand capacity for 150 additional students.

The city is also making preparations to promote Taiwanese culture, per Nikkei Asia. Hilbert said, “There is also hope for sponsorship of cultural institutions [by TSMC], and we have the idea of setting up a Taiwan-style night market to engage the residents and encourage the newcomers to bring in their Taiwanese culture.”