Construction has begun on the EU’s first Fin-FET foundry with a total investment of US$10Bn.

The groundbreaking ceremony for the construction of the EU’s first FinFET fabrication unit in Dresden, Germany, was held by the European Semiconductor Manufacturing Company (ESMC), a joint venture between Taiwan Semiconductor Manufacturing Company (TSMC), Bosch, Infineon, and NXP.

Fin Field-Effect Transistor (FinFETs) are three-dimensional structures with vertical fins forming the drain and source, whereas CMOS structures are two-dimensional. FinFETs offer advantages in terms of performance, particularly with higher drive currents and lower off-state currents compared to MOSFETs, enabling higher performance through higher frequencies and faster switching times.

When fully operational, the facility will have a production capacity of 480,000 wafers (300mm/12-inch) using TSMC’s 28/22nm planar complementary metal-oxide-semiconductor (CMOS) and 16/12nm Fin Field-Effect Transistor (FinFET) processing technology.

With support from the EU (US$5Bn) and the German government, the facility is expected to attract over US$10Bn in total investments, including contributions from the joint partners. Production is expected to operate at full capacity by 2029, with the facility located near a wafer fabrication unit that is operated by joint venture partner Bosch in Dresden.

The EU has been relatively passive in expanding its semiconductor capabilities compared to the USA and China. However, with this facility now under construction, the region is making significant strides toward diversifying the semiconductor value chain.