Thailand awarded a Taiwan Semiconductor Manufacturing Co (TSMC) subsidiary incentives to invest THB10.5 billion ($310.8 million) to build two chip factories in the eastern part of the country, The Nation reported.

The Board of Investment (BoI) granted Foxsemicon Integrated Technology an unspecified package of production incentives, the newspaper wrote. The company has factories in China, Taiwan and the US, producing chip manufacturing equipment.

Foxsemicon Integrated Technology’s facilities will be located in Chonburi and Rayong, will create 1,400 jobs and aims to export THB6 billion-worth of product a year, with 25 per cent of components sourced locally, The Nation added.

In September, the BoI backed a joint venture between South Korea-based Hana Microelectronics and PTT Group to establish a THB11.5 billion silicon carbide wafer plant, the first in Thailand and a major step forward in developing its semiconductor industry.

It is scheduled to start production in 2027.