The Taoyuan plant expansion case is rumored to be suspended. Micron: Confidence to ensure that customer demand will not be affected

Micron, a major memory manufacturer, has reported suspension of its Taoyuan factory expansion plan. In response, Micron responded today (5th) that Micron plays an important role in global operations and is currently operating normally in Taiwan. It looks forward to continuing negotiations and reaching an agreement with the Taoyuan labor union through follow-up meetings arranged by the Taoyuan City Government. It is confident that operations will be maintained and stable, and customer demand will not be affected.

According to Bloomberg, Micron has largely suspended the construction of Fab 11E at its new Taoyuan factory due to an unresolved labor dispute with Taiwan's labor union, and notified Taiwanese officials and a supplier of the shutdown plan. Micron originally planned to invest US$3 billion to US$4.5 billion to build a new factory to manufacture high-bandwidth memory (HBM) and DRAM. It was originally scheduled to be put into production in 2028. Currently, there are only a few projects left on the construction site to maintain safety.

There are also rumors in the market that the shutdown of Micron's Taoyuan plant is related to labor disputes. The Taoyuan labor union launched a 24-hour strike on October 22 due to dissatisfaction with the company's failure to propose a specific profit sharing plan. The labor and management sides have not yet reached a consensus, and further negotiations are expected on November 6.

In response, Micron responded that Taiwan plays an important role in Micron's global operations layout and is currently operating normally in Taiwan. Micron has reached an agreement with the Taichung labor union, which represents most of Micron’s employees and manufacturing sites in Taiwan.

Micron also stated that Micron has always valued all team members in Taiwan and is committed to maintaining open and constructive communication with employees. It also continues to work closely with local sectors on multiple issues, including jointly maintaining Taiwan's competitiveness as an important base for global innovation and long-term investment.