TAIPEI (Taiwan News) — Taiwan Semiconductor Manufacturing Co. (TSMC) is considering building its first European fab near the German city of Dresden, the Financial Times reported Friday (Dec. 23).

On Dec. 6, the world’s largest contract semiconductor maker held a “tool-in” ceremony for a fab in Phoenix, Arizona, in the presence of U.S. President Joe Biden. The company also has plans to cooperate with Sony on a factory in Japan.

The European car industry was reportedly asking TSMC to set up a fab in the European Union, with senior executives planning to visit the eastern state of Saxony early next year, per the Financial Times. If the company is satisfied with the level of government support and the capacity of local supply chains, construction could start in 2024.

The factory would manufacture 22-nanometer and 28nm chips, mainly for European carmakers, though one problem would be the need for a sufficient number of engineers and other staff to launch the fab. Critics of TSMC’s overseas expansion have claimed it would mean a loss of knowhow and talent for Taiwan, a claim the company has rejected.