TSMC ask suppliers to cut price by 15% in 2022

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>(Central News Agency reporter Zhang Jianzhong, Hsinchu, 31) According to media reports, in order to ensure that its gross profit margin and profit remain at a high level, TSMC has increased its foundry prices and will require equipment and material suppliers to cut prices by at least 15% in 2022. The legal person said that this will create more opportunities for local manufacturers.

>Taiwan Semiconductor Manufacturing Co., Ltd. recently notified customers to increase foundry prices. The prices of advanced 7nm and 5nm advanced processes have increased by 7% to 9%, and the prices of other mature processes have increased by about 20%. According to reports, TSMC will also require equipment and material suppliers to cut prices by at least 15% in 2022 to reduce costs. TSMC does not respond to market rumors.

>The domestic legal person said that TSMC has been looking for ways to reduce costs for many years. Unless it is an exclusive supplier, TSMC will reduce costs by adjusting the proportion of procurement.

>The legal person pointed out that domestic suppliers have always offered lower prices than foreign manufacturers, and TSMC has been committed to increasing the proportion of local procurement for many years. It is expected that TSMC will require equipment and material suppliers to reduce prices, which will create more opportunities for local suppliers.

>According to statistics from TSMC, last year, the proportion of indirect raw materials purchased locally was about 60%, and the proportion of local purchases of spare parts was about 44.8%. This year, it plans to increase the local procurement ratio of indirect raw materials to 60.5%, and the local procurement ratio of spare parts will reach 50%. (Editor: Yang Lanxuan) 1100831