Taiwan is once again preparing for potential water shortages, raising concerns across the island's critical semiconductor industry. Less than two years after enduring its most severe drought in a century, Taiwan's water scarcity issues loom large, particularly for its major chip manufacturing sector. As home to Asia's biggest semiconductor industry, Taiwan's ongoing water challenges could have significant implications.
The semiconductor industry is notably resource-intensive, with water being a vital component in the chip-making process. Taiwan Semiconductor Manufacturing Co. (TSMC), the world's leading contract chipmaker, exemplifies this demand. TSMC operates extensive facilities in the Southern Taiwan Science Park, consuming an astonishing 99,000 tonnes of water per day, according to the company's latest figures. This substantial usage underscores the industry's reliance on steady water supplies.
The Southern Taiwan Science Park, hosting some of TSMC's key facilities, is a focal point for Taiwan's semiconductor production. As a contract chipmaker, TSMC manufactures chips for various global companies, making it a cornerstone of Taiwan's economy. However, the massive water consumption by these facilities significantly contributes to the island's recurring water shortages.
The water scarcity issue is not new to Taiwan. The island has frequently grappled with water shortages, often impacting various sectors, including agriculture and industry. However, the semiconductor industry's rapid growth and high water demands have heightened concerns about sustainability and resource management.
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