Bloomberg Reports Micron May Pause Taoyuan Expansion Amid Labor Dispute; City Government Intervenes

Media reports from Bloomberg indicate that Micron Technology decided to pause its $4.5 billion (approximately NT$148 billion) Taoyuan fab expansion project over unresolved labor disputes and uncertainties regarding labor agreements, reportedly notifying Taiwanese officials and a supplier to halt engineering work. The dispute arose from employee concerns regarding transparent profit-sharing mechanisms, which previously led the Taoyuan union to stage a 24-hour warning strike in October. Regarding the pause, the union stated it is verifying the report, emphasizing that its demands have not disrupted operations, and called on the company to clarify the profit-sharing plan. Micron issued a statement affirming that its Taiwan operations remain normal and that it has reached an agreement with the Taichung union, while the Taoyuan City Labor Bureau convened a third mediation meeting on the 6th.

Key takeaways

• Media reports state Micron notified officials and a supplier to pause its $4.5 billion (approximately NT$148 billion) Taoyuan fab expansion over labor dispute uncertainties.
• The Taoyuan union stated it is verifying the pause reports, maintaining its profit-sharing demands have not harmed company operations, and requested clear scheme details.
• The Taoyuan City Government mediated a third round of negotiations, while Micron stated its Taiwan operations remain normal with open communication ongoing.