Latest Update on Taiwan Firms in Kumamoto After Strong Earthquake: TSMC's JASM Gradually Restarts Production, Some Construction Work Suspended; MOEA Confirms No Impact on Advantech, Delta, and Others

After the magnitude 7.1 earthquake in Kumamoto, Japan, the safety and operations of Taiwanese manufacturers in the region are becoming clearer. TSMC (2330) announced that its subsidiary Japan Advanced Semiconductor Manufacturing (JASM) recorded a maximum seismic intensity of 5 at its wafer fabrication site. The company immediately initiated personnel evacuation procedures upon the quake. All personnel have been confirmed safe, and the facility's structural integrity remains intact. Production lines are gradually being restored.

The earthquake struck Kumamoto around 4:00 PM local time on July 28, followed by multiple aftershocks. According to preliminary data from the Japan Meteorological Agency, the quake measured magnitude 7.1 with a focal depth of approximately 10 kilometers, reaching a maximum seismic intensity of 7 in Kumamoto Prefecture. JASM's facility in Kikuyō Town, Kumamoto, experienced strong shaking.

TSMC confirmed that the JASM site recorded a maximum intensity of 5. To ensure personnel safety, JASM activated internal emergency protocols and immediately evacuated all staff. After evacuation and headcount, TSMC confirmed that all personnel on site are safe, with no immediate safety risks.

Following personnel checks, JASM conducted structural inspections of the facility. TSMC stated that post-quake damage assessments have been completed, confirming the building's structural safety. Production lines are now being gradually restored according to internal safety procedures.

However, 'gradual restoration' does not mean all tools, processes, and capacity are fully operational. TSMC emphasized that detailed inspections and impact assessments are ongoing. The company must verify the status of facility systems, precision equipment, tool parameters, and in-process wafers.

Semiconductor fabrication equipment is highly sensitive to vibration, power stability, and facility conditions. Even with structurally sound buildings, each piece of equipment must be individually inspected and recalibrated. Therefore, until TSMC completes its full assessment, it cannot confirm that JASM has fully restored normal capacity or that no wafer or production loss occurred.

Regarding the JASM construction site, TSMC stated that it was not affected by the earthquake. However, due to the risk of aftershocks, some construction activities have been temporarily suspended as a precautionary safety measure. This suspension does not indicate damage to the site, structures, or equipment. The resumption timeline will depend on aftershock activity and on-site safety evaluations.

JASM's Kumamoto Fab 1 began volume production at the end of 2024, focusing on 12/16nm and 22/28nm processes, with a monthly capacity of approximately 55,000 12-inch wafers, primarily serving automotive, industrial, and consumer electronics applications. The ongoing Kumamoto Fab 2 project plans to introduce 3nm process technology, targeting volume production by 2028 with a planned monthly capacity of about 15,000 12-inch wafers.

As TSMC has not specified which construction activities are suspended, it remains unclear whether this temporary halt will affect the overall timeline for Fab 2.

In addition to TSMC, several other Taiwanese companies have invested in Kumamoto. The Ministry of Economic Affairs (MOEA) stated that, based on initial inquiries through the Fukuoka Economic Office, firms including Advantech (2395), Delta Electronics (2308), Yoken, and Tokyo Star reported all personnel safe and no operational impact at their local sites.

The MOEA noted that TSMC JASM had already communicated its emergency response, including indoor and outdoor evacuations and personnel checks. With TSMC's latest inspection results, all JASM personnel are confirmed safe, structural integrity is intact, and production is gradually resuming.

However, the MOEA's findings reflect only preliminary post-quake assessments. As aftershocks may continue and infrastructure such as transportation, power, and water supply could affect operations, the MOEA will continue monitoring the situation and supporting local businesses.

Current reports indicate that the most urgent personnel and structural safety risks for Taiwanese firms in Kumamoto have been mitigated. The focus now shifts to JASM's equipment and wafer inspections, production recovery speed, and the resumption of suspended construction activities.