A magnitude 6.4 earthquake that struck off the eastern coast of Hualien County on Wednesday evening has prompted concerns across Taiwan’s tech and power sectors. However, Taiwan Semiconductor Manufacturing Co. (TSMC) and United Microelectronics Corp. (UMC) — two of the world’s leading contract chipmakers — have both confirmed that their operations remain unaffected.
📍 The Quake: What Happened?
The earthquake occurred at 7:00 p.m. local time, with an epicenter 69.9 km south of Hualien County Hall, and at a depth of 30.9 km, according to the Central Weather Administration (CWA). The tremor registered a maximum intensity of 5 in Taitung County’s Changbin Township, while Hualien, Nantou, Chiayi, Yunlin, Changhua, Miaoli, and Taichung saw intensity levels of 4. Taipei, Taoyuan, Tainan, Kaohsiung, and other major cities experienced a moderate level 3.
This quake follows a similar 6.4 magnitude earthquake in January 2025, which had forced TSMC to suspend operations at its 3nm fabrication facilities in Southern Taiwan Science Park, leading to estimated losses of NT$5.3 billion (US$177 million).
🏭 Impact on TSMC & UMC
Despite concerns triggered by the magnitude and wide-reaching effects of the quake, both TSMC and UMC issued reassuring statements:
- TSMC confirmed no evacuations were needed at its sites in Hsinchu, Taichung, Tainan, and Kaohsiung, stating that the tremors did not exceed their operational safety threshold.
- UMC, which focuses on mature-node production, likewise stated that their operations in Hsinchu and Tainan remained uninterrupted.
This resilience is notable given Taiwan’s seismic vulnerability and its central role in the global semiconductor supply chain, particularly for advanced and mature node chips.
⚡ Taiwan Power Co. (Taipower): No Grid Impact
Taiwan’s sole electricity provider, Taipower, said that all power plants and grid networks across the island were functioning normally post-quake. The company’s infrastructure, already hardened by past experiences with natural disasters, showed no faults or safety risks.
🌏 Broader Implications: The Global Supply Chain
TSMC and UMC’s operations are critical to the functioning of global electronics industries — from smartphones and EVs to AI chips and cloud infrastructure. This rapid confirmation of operational normalcy provides a sigh of relief to global tech companies, many of whom rely on Taiwan’s foundries for high-volume and high-performance chip manufacturing.
If this quake had triggered production halts, supply bottlenecks and shipment delays could have resurfaced, as seen in the aftermath of the April 2024 magnitude 7.2 earthquake, which disrupted hundreds of tools and cleanroom operations in the same region.
🧠 Analysis: Why Didn’t This Quake Disrupt Production?
Unlike January’s incident, this quake’s:
- Epicenter was further offshore, limiting the ground acceleration in chip-making zones.
- Shallower depth (30.9 km) caused broader but less intense impact.
- Learnings from earlier events led companies to improve real-time monitoring systems, seismic shock absorbers, and equipment anchoring.
Additionally, TSMC has diversified its high-end production across multiple fabs, mitigating the risk of centralized disruptions.
📊 Industry Takeaway
- TSMC’s resilience reassures clients like Apple, NVIDIA, AMD, and Qualcomm.
- UMC’s stable output maintains crucial supply for automotive and industrial chip sectors.
- Government response frameworks have matured, with automated alerts, improved building codes, and real-time industrial protocols.
Taiwan’s ability to keep its chip production steady despite seismic activity further solidifies its role as an indispensable pillar of global tech.
❓FAQs
Did the June 2025 earthquake in Taiwan disrupt chip production?
No. Both TSMC and UMC confirmed that their operations were not disrupted and no employee evacuations were needed.
How strong was the earthquake, and where did it strike?
The earthquake measured magnitude 6.4 and struck off the coast of Hualien County, with the strongest tremors felt in Taitung and surrounding areas.
Why didn’t this earthquake cause damage like the one in January 2025?
The offshore epicenter, shallower depth, and less intense shaking in tech parks helped prevent operational impact. TSMC also improved seismic resilience following January’s losses.
How does Taiwan’s chip industry prepare for earthquakes?
Taiwanese fabs use shock-proof equipment setups, automated seismic alerts, and multi-fab diversification strategies to ensure minimum disruption.
Why is this relevant to the global market?
TSMC and UMC are vital to the global tech ecosystem, producing chips for smartphones, AI, automotive, and industrial use. Stability in Taiwan ensures steady global electronics supply chains.
