TSMC Board of Directors Makes Several Resolutions

Hsinchu Science Park, Taiwan, November 8, 2005 - Taiwan Semiconductor Manufacturing Company Ltd. (“TSMC” or “the Company”) (TAIEX: 2330, NYSE: TSM) today held a meeting of the Board of Directors, at which the Board of Directors made several resolutions:

1. Approved capital appropriation in the amount of US$706,500,000 to expand its 12-inch Fabs’ capacities of 65 nanometer process, and 8-inch fabs’ capacities of 0.18-micron and 0.15-micron processes.

2. Approved the investment of no more than US$75,000,000 in establishing a new venture capital fund, and gave VentureTech Alliance Management Co.(VTA)the mandate to manage the fund. VTA was previously retained for the management of two venture capital funds set up by TSMC.

3. Approved capital increase in the amount of NT$12,188,340 to reflect the issuance of 1,218,834 new TSMC common shares as a result of employees exercising their stock options between July 1 and September 30, 2005. Subsequent to such capital increase, the registered paid-in capital of TSMC shall be NT$247,273,476,370.

4. Promoted Dr. C.C. Wei and Dr. Mark Liu as TSMC senior vice presidents. Dr. Wei and Dr. Liu will continue to be in charge of TSMC’s fab operation and related matters.

5. Appointed Ms. Jessica Chou as controller of TSMC.