The new facility will be located at the Tongluo site in Miaoli County, recently acquired from Taiwanese chipmaker Powerchip Semiconductor Manufacturing Corp. (PSMC). Micron confirmed that the acquisition of the Tongluo P5 site has now been completed.
According to the company, the planned plant will help increase the supply of leading-edge dynamic random-access memory (DRAM) products, including high-bandwidth memory (HBM) — a critical component widely used in AI accelerators and advanced computing systems.
Expanding AI Chip Supply
Demand for HBM and other advanced memory technologies has surged globally as artificial intelligence applications expand across industries. These chips are commonly used alongside high-performance processors produced by companies such as Nvidia and other AI hardware developers.
Micron said the new fabrication facility will be similar in scale to its existing fab in Miaoli County, strengthening the company’s manufacturing footprint in Taiwan, one of the world’s most important semiconductor production hubs.
Construction Timeline
The company expects construction of the new plant to begin by the end of its fiscal year 2026. Once operational, the facility will support Micron’s strategy of increasing output of next-generation memory technologies to meet rapidly growing demand driven by AI, cloud computing and high-performance data centers.
Taiwan already hosts major semiconductor manufacturers including Taiwan Semiconductor Manufacturing Company (TSMC), making the island a central player in the global chip supply chain.
Micron’s latest expansion underscores the intensifying competition among semiconductor firms to scale up production of advanced memory components essential for the next wave of AI development.