Annual Meeting Sees Record Output Forecast
The Taiwan Semiconductor Industry Association held its 30th anniversary annual meeting on October 29, estimating that Taiwan's overall semiconductor industry output in 2026 will reach NT$9.1 trillion, up 40.9% year-on-year. The association noted that semiconductor fab expansion continues, and with artificial intelligence demand continuing to expand, industry scale maintains strong growth, with market conditions and stable power supply becoming key industry focuses.
Stable Power Supply Is Industry Lifeline
Chairman and TSMC Senior Vice President Yung-Ching Hou said in his address that stable power supply is the lifeline of the semiconductor industry, and for semiconductors, stable and continuously sufficient power supply is critical. He announced that the association has formally declared its support for the Taiwan government to restart nuclear energy and nuclear plant evaluation plans under lawful and safe conditions, to address the huge power demand driven by AI, and the industry supports the Taiwan government in seeking a nuclear restart.
Global Output Eyes Exponential Growth
The meeting noted that global semiconductor output is growing exponentially, from US$0.8 trillion in 2025, expected to reach US$1.6 trillion by the end of 2026, and over the next five years global output is expected to further challenge the US$2.4 trillion mark. Etron Chairman Nicky Lu said edge artificial intelligence is exploding, the value that systems and users can derive from semiconductors is increasing, indirectly allowing them to pay the right price for more advanced products, which will be the trend next year.
Taiwan Becomes Largest US Trading Partner
Lu said, according to the latest news, Taiwan is the largest US trading partner in 2026, driven not just by the silicon shield, but by the foreign trade and economic effects of AI plus semiconductors. He noted Taiwan's geopolitical role has gone beyond a silicon island of pure hardware manufacturing, becoming an indispensable strategic player in the global AI ecosystem, with memory and mature processes also playing important roles.
Mature Processes Benefit as Well
Powerchip Chairman Tsai-Chu Hsieh said TSMC focuses on advanced processes, and if it performs well, surrounding system components also need mature processes for support, with current demand looking solid, and TSMC is a very important indicator to follow. Industry players noted that demand for interposers, silicon capacitors, and conventional mature-process memory is heating up significantly, also bringing new growth opportunities to the supply chain including Advanced Wireless Semiconductor.