TSMC's Planned Capex Poses Tailwind for Japan Semiconductor Companies -- Market Talk

Dow Jones01-16

0416 GMT - TSMC's increased capital expenditure poses a tailwind for Japanese wafer fab equipment manufacturers, Macquarie analyst Hiroshi Taguchi says in a note. TSMC's announced spending and Foundry 2.0 investment plans, which exceed market expectations, is a positive for manufacturers with high front-end process ratio, including Tokyo Electron, Screen Holdings and Kokusai, he says. The rise in TSMC's investment ratio in advanced packaging, testing and mask-making this year should benefit Japanese companies such as Advantest, Disco and Ibiden. However, Taguchi forecasts global smartphone shipments to decline amid surging memory prices, which would likely weigh on midrange and low-end smartphones companies the most. "For Japanese electronic component manufacturers, the risk of price reduction demands remains, but the steady production volume of high-end smartphones is a positive factor," he adds. (jason.chau@wsj.com)

(END) Dow Jones Newswires

January 15, 2026 23:16 ET (04:16 GMT)

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