Rapidus officially launched its IIM-1 semiconductor fab in Chitose City, Hokkaido, on April 1, marking a major milestone in Japan's ambition to produce cutting-edge 2nm chips. However, company executives caution that improving yield rates and securing future customers remain key challenges, reports Nikkei and Bloomberg.

Samsung Electronics Chairman Lee Jae-yong was recently joined by senior executives from the company's semiconductor and display departments on a rare visit to China. Industry analysts in South Korea say the joint trip is highly unusual and likely points to a strategic pivot in Samsung Group's China operations.

Rapidus, a Japanese company focused on semiconductor innovation, officially opened its first facility, IIM-1, in Chitose City, Hokkaido, on April 1, 2025. Aiming to advance in the production of next-generation semiconductors, the company has commenced operations on a trial production line dedicated to 2nm chips.

Amid growing concerns over semiconductor supply chain resilience and geopolitical tensions, industry speculation has emerged about potential consolidation in the global foundry sector. Nikkei Asia recently reported that Taiwan's United Microelectronics Corporation (UMC) and US-based GlobalFoundries are considering a merger that would significantly expand their combined presence across Asia, the US, and Europe. Such a move would potentially strengthen US access to legacy chips – critical components in numerous industries – amid increasing concerns over Taiwan Strait tensions.

Hanmi Semiconductor has increased the price of its thermal compression bonder (TC Bonder; TCB), a critical piece of equipment for high-bandwidth memory (HBM) production, by 25% starting April 1. This marks the company's first price hike for TCB equipment, according to reports from South Korean media outlets ET News and Money Today.

China's electronic product trade-in initiative is driving stronger electronics sales in the first half of 2025, with the smartphone sector showing particular strength. Industry sources report that Chinese smartphone sales are growing compared to the same period in 2024, with flagship models capturing an increased market share.

Commerce Secretary Howard Lutnick has signaled he could withhold promised Chips Act grants as he pushes companies in line for federal semiconductor subsidies to substantially expand their US projects, according to eight people familiar with the matter.

Taiwan's semiconductor manufacturers continue to confront challenging market conditions for mature process technologies, with reports that TSMC may slow expansion plans at its Kumamoto facility. Industry sources indicate that ASE Technology and Intel have also delayed capacity growth in Malaysia, despite maintaining public optimism about future demand.

On April 1, UMC announced the opening ceremony for its expanded facility in Singapore. The first phase of this new plant is scheduled to commence production in 2026, which is expected to increase the total capacity of UMC's Singapore Fab 12i to over one million 12-inch wafers annually.

On April 1, Rapidus inaugurated its first semiconductor fabrication facility, IIM-1, in Chitose City, Hokkaido, marking a pivotal step in Japan's leap from 40nm technology to the cutting-edge 2nm process. Rapidus is spearheading Japan's ambition to restore its semiconductor manufacturing autonomy. The consortium includes elite talent from Renesas, Tokyo Electron (TEL), and international firms like United Microelectronics Corporation (UMC), ensuring technological advancements and yield rates align with expectations.

Hiroshi Kawamoto, Division Officer, Finance Division of Tokyo Electron Limited (TEL), one of Japan's leading semiconductor equipment manufacturers, projects that demand for high-bandwidth memory (HBM) equipment—vital for powering generative AI—will continue to grow. However, he anticipates that sales of front-end semiconductor manufacturing processes in 2025 will likely remain on par with 2024 levels.

SEMICON China 2025 opened at the Shanghai New International Expo Centre to large crowds and packed booths, a full display of China's forward momentum for its semiconductor industry. Beneath the prestige, however, domestic chip equipment makers are embroiled in a brutal price war, with some reportedly cutting prices to just 40% of list value in a scramble for market share.

Taiwan Semiconductor Manufacturing Company (TSMC) is poised to commence mass production of its 2-nanometer (nm) chips in the second half of 2025 as scheduled, with customer demand showing no signs of abating. By year-end, monthly capacity is expected to reach 30,000 wafers, and industry sources suggest foundry quotes could climb to US$30,000 per wafer.

A senior executive from Kaynes Semicon revealed plans for the company to become the first in India to package chips by July, noting the delay in Micron's ATMP project.

Between the 1960s and 1980s, the semiconductor industry primarily used a vertically integrated model covering all aspects, from equipment to materials. This approach disadvantaged latecomers such as Taiwan and South Korea, which concentrated on process technology rather than developing their own equipment and material capabilities.

Nikkei and Bloomberg have reported that GlobalFoundries is exploring a merger deal with UMC, a rumor UMC denied. Still, the speculation underscores US efforts to strengthen its semiconductor security amid concerns over China's growing mature process capacity and its impact on global supply-demand dynamics.

President Donald Trump signed an executive order to establish an office within the Commerce Department to facilitate and speed up investments of more than US$1 billion in the US and administer federal funds from the Chips and Science Act.

On March 31, at his first public appearance as CEO during the Intel Vision conference in Las Vegas, Lip-bu Tan outlined his strategy for Intel, which includes spinning off non-core assets, enhancing AI-related products, and collaborating with the US government to attract 2 to 3 key customers for its foundry business.

TSMC officially marked its entry into the 2-nanometer technology era with a ceremony at its Kaohsiung Fab 22 P2 plant. During the event, Executive VP and Co-Chief Operating Officer Y.P. Chyn revealed plans for three additional plants beyond the two already in operation.

GlobalFoundries and UMC are reportedly in merger talks. A potential deal aims to secure US chip supply amid rising China tensions, but faces regulatory hurdles and market pressures from Chinese foundries.

As the seventh-largest US trade partner, Taiwan has been speculated by foreign media as part of the "Dirty 15" countries targeted for reciprocal tariffs. However, the US government has not officially named Taiwan. In response, Taiwan is actively negotiating an Avoidance of Double Taxation Agreement (ADTA) to reduce trade barriers and facilitate investment.

To strengthen academic exchange and collaboration between Taiwan and Japan, the renowned Japanese research institute RIKEN has signed a memorandum of understanding (MoU) with Taiwan's National Science and Technology Council (NSTC) to drive joint research in advanced scientific fields. Notably, the partnership will expand into next-generation compound semiconductor research starting in 2026.

China Resources Microelectronics (CR Micro) has appointed He Xiaolong as its new chairman in a rapid leadership reshuffle. According to a regulatory filing cited by East Money and Cinastarmarket.cn, He was elected during the company's 23rd board meeting and will serve through the remainder of the current board's term, effective immediately.

TSMC held a capacity expansion ceremony for its 2-nanometer chip technology at the Fab 22 facility in Kaohsiung on March 31, 2025, marking a critical step in the company's advanced chipmaking roadmap.