“The new wafer plant will have a monthly capacity of 70,000 units. Whether the new facilities will be used to produce dynamic random access memory (DRAM) chips or flash chips will depend on market conditions,” ProMOS spokesman Ben Tseng said.

The construction of the Houli plant in central Taiwan is expected to be completed in 12 to 13 months, Tseng said.

Local media reported the new production site will use 60-nanometer process technology, but Tseng said it is still too early to say.

Currently, ProMOS operates two 12-inch wafer plants and a third is under construction. Including the fourth one, the total monthly 12-inch wafer production capacity is expected to rise to about 200,000 units.

ProMOS is also building an eight inch (200 millimeter) wafer plant in Chongqing, central China.

The company is one of three local microchip manufacturers authorized by the Taiwan government to build an eight-inch wafer plant in China since 2002.

The Shanghai plant of Taiwan Semiconductor Manufacturing Co., the world’s largest contract chipmaker, is already in operation.

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