The German Cartel Office has approved the acquisition of stakes in TSMC’s new semiconductor facility in Dresden, Germany by Bosch, Infineon, and NXP. Each of these companies will secure a 10% ownership in the European Semiconductor Manufacturing Company (ESMC), which is a venture established by TSMC. This approval was announced in a statement released by the German regulatory body on Tuesday.

Andreas Mundt, the president of the German Cartel Office, emphasized the importance of secure access to semiconductors, particularly in light of recent events. He stated, “The recent geopolitical upheavals have shown how important secured access to semiconductors is, especially for the German industry.” Mundt also highlighted the joint commitment of the European Union and Germany to strengthening semiconductor production within Europe, with a specific focus on Germany. 

This new semiconductor plant represents a milestone for TSMC. It marks their first entry into the European market and their third facility established outside their traditional manufacturing hubs in Taiwan and China. The establishment of this plant aligns with Berlin’s strategic objective of fortifying the domestic chip industry, which is a crucial element for maintaining global competitiveness within the automotive sector.