1934 Act Registration No. 1-14700

SECURITIES AND EXCHANGE COMMISSION

Washington, DC 20549

FORM 6-K

REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16 OF
THE SECURITIES EXCHANGE ACT OF 1934

For the month of October 2007

Taiwan Semiconductor Manufacturing Company Ltd.

(Translation of Registrant’s Name Into English)

No. 8, Li-Hsin Rd. 6,
Science-Based Industrial Park,
Hsin-Chu, Taiwan
(Address of Principal Executive Offices)

(Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.)

Form 20-F x            Form 40-F o

(Indicate by check mark whether the registrant by furnishing the information contained in this form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.)

Yes o           No x

(If  “Yes” is marked, indicated below the file number assigned to the registrant in connection with Rule 12g3-2(b): 82:                     .)

FOR IMMEDIATE RELEASE 3Q07 Quarterly Management Report
                  October 25, 2007

CONTACT

Elizabeth Sun / Harrison Hsueh
Julie Wei
Investor Relations Division
TSMC
invest@tsmc.com
886-3-568-2085/ 2088/ 2086

Topics in This Report

• Revenue Analysis

• Capacity

• Profit & Expense Analysis

• Financial Condition Review

• Cash Flow & CapEx

• Recap of Recent Important Events & Announcements

Operating Results Review:

Summary:

(Amounts are on consolidated basis and are in
NT billions except noted otherwise)	3Q07			2Q07			3Q06			QoQ			YoY
EPS (NT$  per common share)		1.15			0.96			1.23			19.2	%		(6.6	%)
(US$  per ADR unit)		0.17			0.15			0.19
Consolidated Net Sales		88.96			74.92			82.48			18.7	%		7.9	%
Gross Profit		40.72			32.18			41.13			26.6	%		(1.0	%)
Gross Margin		45.8	%		43.0	%		49.9	%
Operating Expense		(8.37	)		(7.45	)		(7.50	)		12.4	%		11.6	%
Operating Income		32.35			24.73			33.63			30.8	%		(3.8	%)
Non-Operating Items		1.87			3.29			1.03			(43.3	%)		80.8	%
Net Income		30.37			25.48			32.49			19.2	%		(6.5	%)
Net Profit Margin		34.1	%		34.0	%		39.4	%
Wafer Shipment (kpcs 8 inch-equiv.)		2,226			1,856			1,890			19.9	%		17.8	%

Remarks:

The third quarter diluted earnings per share were NT$1.15, representing a decline of 6.6% over the same period last year and a 19.2% increase sequentially. The consolidated operating results of 3Q07 are summarized below:

Third quarter net sales exceeded our guidance provided on July 26 to reach NT$89 billion, an increase of 7.9% over the year ago quarter and an increase of 18.7% sequentially.

Gross profit for the quarter was NT$41 billion with gross margin of 45.8%, or 2.8 percentage points higher than the 43% gross margin reported in the prior quarter.

Operating expenses were NT$8.4 billion or 9.4% of net sales. The combined result from non-operating income and long-term investments was a gain of NT$1.9 billion.

Consolidated net income attributable to shareholders of the parent company was NT$30.4 billion, down 6.5% from a year ago level and up 19.2% from the previous quarter. Net profit margin was 34.1% for 3Q07.

TSMC
October 25, 2007	Page 2

I. Revenue Analysis

   I. Wafer Sales Analysis

By Application	3Q07			2Q07			3Q06
Computer		32	%		29	%		28	%
Communication		42	%		44	%		45	%
Consumer		17	%		18	%		20	%
Industrial/Others		5	%		6	%		5	%
Memory		4	%		3	%		2	%

By Technology	3Q07			2Q07			3Q06
65nm and below		7	%		3	%		—
90nm		27	%		26	%		24	%
0.11/0.13um		22	%		24	%		25	%
0.15/0.18um		28	%		30	%		33	%
0.25/0.35um		11	%		12	%		13	%
0.50um+		5	%		5	%		5	%

By Customer Type	3Q07			2Q07			3Q06
Fabless/System		66	%		68	%		71	%
IDM		34	%		32	%		29	%

By Geography	3Q07			2Q07			3Q06
North America		74	%		74	%		78	%
Asia Pacific		13	%		13	%		10	%
Europe		10	%		9	%		8	%
Japan		3	%		4	%		4	%

Revenue Analysis:

Due to stronger than expected demand across our three major market segments (communication, computer, and consumer), third quarter revenue exceeded our guidance provided on July 26 to reach NT$89 billion.

Businesses from all three major market segments had double-digit quarter-over-quarter growth in the third quarter. On a sequential basis, revenues from computer, consumer and communication applications increased by 29%, 15% and 12%, respectively.

Revenue from 65nm more than doubled during the quarter to account for 7% of total wafer sales, while revenue from 90nm accounted for 27% of total wafer sales. Revenues from advanced technologies (0.13-micron and below) accounted for 56% of total wafer sales, up three percentage points from the second quarter of 2007.

Revenues from IDM customers accounted for 34% of total wafer sales during the quarter, compared to 32% in the previous quarter.

From a geographic perspective, revenues from North America accounted for 74% of total wafer sales, flat from the previous quarter. Meanwhile, sales from Asia Pacific, Europe and Japan accounted for 13%, 10% and 3% of wafer sales, respectively.

TSMC
October 25, 2007	Page 3

II. Capacity

II. Capacity

	1Q07		2Q07		3Q07		4Q07		2007
Fab / (Wafer size)	(A)		(A)		(A)		(F)		(F)
Fab-2 (6")1		257		257		273		273		1,060
Fab-3 (8")		259		262		267		269		1,057
Fab-5 (8")		144		155		163		166		627
Fab-6 (8")		245		255		274		279		1,053
Fab-8 (8")		239		239		260		265		1,004
Fab-12 (12")2		169		180		198		212		759
Fab-14 (12")2		103		113		154		176		546
WaferTech (8")		104		105		106		106		419
TSMC (Shanghai) (8")		90		94		99		92		375
TSMC total capacity (8" equiv. Kpcs)		1,836		1,913		2,113		2,202		8,064
SSMC (8")		53		55		56		61		226
Total managed capacity (8" equiv. Kpcs)		1,890		1,967		2,169		2,263		8,290

Note:	1.	Figues represent number of 6" wafers. Conversion to 8"-equivalent wafers is by dividing this number by 1.78
	2.	Figues represent number of 12" wafers. Conversion to 8"-equivalent wafers is by multiplying this number by 2.25

Capacity:

Total TSMC managed capacity was 2,169K 8-inch equivalent wafers in 3Q07, 10% higher than 2Q07. TSMC managed capacity in 4Q07 is expected to increase by 4% sequentially to reach 2,263K 8-inch equivalent wafers.

Total managed capacity for 2007 is expected to reach 8,290K 8-inch equivalent wafers, down slightly from the forecast provided in the previous quarter. On a full year basis, 2007 capacity is expected to increase by 17% from 7,062K 8-inch equivalent wafers in 2006.

III. Profit & Expense Analysis

III — 1. Gross Profit Analysis

(In NT billions)	3Q07			2Q07			3Q06
COGS	48.2			42.7			41.3
Depreciation		18.2			17.9			16.8
Other MFG Cost		30.0			24.8			24.5
Gross Profit		40.7			32.2			41.1
Gross Margin		45.8	%		43.0	%		49.9	%

Gross Profit Analysis:

Gross margin for the third quarter 2007 was 45.8%, up from 43% in the previous quarter. Third quarter gross margin improved by 2.8 percentage points primarily due to increased wafer shipment and a higher level of capacity utilization, offset in part by a decline in pure price.

TSMC
October 25, 2007	Page 4

     III — 2. Operating Expenses *

(In NT billions)	3Q07		2Q07		3Q06
Total Operating Exp.		8.37		7.45		7.50
SG&A		3.68		3.15		3.19
Research & Development		4.69		4.30		4.31

* Certain prior period amounts have been reclassified to conform with current period presentation.

Operating Expenses:

Total operating expenses for 3Q07 were NT$8.4 billion, compared to NT$7.4 billion in the prior quarter. Total operating expenses represented 9.4% of net sales, down slightly from 10% in the second quarter of 2007.

Research and development expenditures increased by NT$390 million quarter-over-quarter, largely due to increased R&D spending on 65nm and 55nm related projects.

SG&A expenses were NT$3.7 billion for the quarter, an increase of NT$535 million quarter-over-quarter, mainly due to higher legal fees.

     III — 3. Non-Operating Items

(In NT millions)	3Q07			2Q07		3Q06
Non-Operating Income/(Exp.)		1,083			2,802		322
Net Interest Income/(Exp.)		1,097			1,338		923
Other Non-Operating		(14	)		1,464		(601	)
L-T Investments		782			488		709
SSMC		405			233		403
Others		377			255		306
Total Non-Operating Items		1,865			3,290		1,031

Non-Operating Items:

Combined result from non-operating income and long-term investments was a gain of NT$1.9 billion for third quarter of 2007.

Non operating income was NT$1.1 billion, down from NT$2.8 billion in the previous quarter, primarily due to an accrual of litigation loss related to the TSMC-UniRAM case, lawsuit settlement received from SMIC in the previous quarter, and a reduction in mark-to-market adjustment on certain marketable securities.

Net investment income increased by NT$294 million in the quarter, reflecting improved operating performance at SSMC and increased ownership percentage in Vanguard.

TSMC
October 25, 2007	Page 5

IV. Financial Condition Review

IV — 1. Liquidity Analysis

(Selected Balance Sheet Items)

(In NT billions)	3Q07		2Q07		3Q06
Cash & Marketable Securities		176.4		233.1		164.1
Accounts Receivable — Trade		42.4		37.1		37.7
Inventory		24.5		24.0		20.3
Total Current Assets		250.1		304.6		228.3
Accounts Payable		24.2		28.2		26.2
Current Portion of Bonds Payable		4.5		4.5		2.5
Accrued Cash Dividend & Profit Sharing		0.0		82.1		0.0
Accrued Liabilities and Others		22.2		17.6		16.9
Total Current Liabilities		50.9		132.4		45.6
Current Ratio (x)		4.9		2.3		5.0
Net Working Capital		199.2		172.2		182.7

Liquidity Analysis:

Total cash and marketable securities decreased by NT$57 billion in the third quarter of 2007, as we paid NT$77 billion in cash dividends during the quarter. As a result, TSMC ended the quarter with NT$250 billion in total current assets, compared to NT$305 billion at the end of the previous quarter.

Mainly due to the payment of cash dividends accrued in the previous quarter, total current liabilities decreased by NT$82 billion in third quarter 2007.

Net working capital stood at NT$199 billion at the end of the quarter, with a current ratio of 4.9.

     IV — 2. Receivable/Inventory Days

	3Q07		2Q07		3Q06
Days of Receivable		42		44		43
Days of Inventory		48		52		48

Receivable/Inventory Days Trend:

Days of receivable were 42 days in 3Q07, down from 44 days in the previous quarter.

Days of inventory declined by 4 days to reach 48 days.

     IV — 3. Debt Service

(In NT billions)	3Q07		2Q07		3Q06
Cash & Marketable Securities		176.4		233.1		164.1
Interest-Bearing Debt		26.7		26.3		27.6
Net Cash Reserves		149.7		206.8		136.5

Debt Service:

As a result of the cash dividends paid and free cash flows generated during the quarter, net cash reserves — defined as the excess of cash and short-term marketable securities over interest-bearing debt — decreased by NT$57 billion to reach NT$150 billion in 3Q07.

TSMC
October 25, 2007	Page 6

V. Cash Flow & CapEx

V — 1. Cash Flow Analysis

(In NT billions)	3Q07			2Q07			3Q06
Net Income		30.4			25.5			32.5
Depreciation & Amortization		19.9			19.6			18.4
Other Op Sources/(Uses)		0.8			(10.4	)		1.8
Total Op Sources/(Uses)		51.1			34.7			52.7
Capital Expenditure		(24.9	)		(25.3	)		(28.3	)
Marketable Financial Instruments		(2.8	)		15.8			(8.6	)
Other Investing Sources/(Uses)		(6.8	)		(0.7	)		(0.1	)
Net Investing Sources/(Uses)		(34.5	)		(10.2	)		(37.0	)
Cash Dividends		(77.4	)		0.0			(61.7	)
Employee Profit Sharing		(4.6	)		0.0			(3.2	)
Other Financing Sources/(Uses)		(0.0	)		(0.5	)		0.2
Net Financing Sources/(Uses)		(82.0	)		(0.5	)		(64.7	)
Net Cash Position Changes		(65.4	)		24.0			(49.0	)
Exchange Rate Changes & Others		0.3			(0.9	)		0.5
Ending Cash Balance		98.3			163.4			92.9

Summary of Cash Flow:

Cash generated from operating activities totaled NT$51 billion during the quarter, up from NT$35 billion in the second quarter 2007.

TSMC spent NT$25 billion in capital expenditures in 3Q07, bringing total capital expenditures to US$1.9 billion on a year-to-date basis. TSMC also invested an additional NT$5 billion in Vanguard International Semiconductor Corporation during the quarter.

Net cash used in financing activities was NT$82 billion during the quarter, as we paid NT$77 billion in cash dividends and NT$5 billion in cash bonuses to employees.

As a result, TSMC ended the quarter with a cash balance of NT$98 billion.

Operating and Free Cash Flows:

Cash flows generated from operating activities were NT$51 billion. Free cash flow, defined as the excess of operating cash flows over capital expenditures, totaled NT$26 billion in 3Q07.

     V — 3. Capital Expenditures

(In US millions)	3Q07		2Q07		1Q07		YTD
TSMC		732		747		419		1,898
XinTec and GUC		15		13		3		31
TSMC Shanghai & WaferTech		8		4		2		14
Other TSMC Subsidiaries		1		2		0		3
Total TSMC		756		766		424		1,946

Capital Expenditures:

Capital expenditures for TSMC consolidated group totaled US$756 million during the quarter.

For year 2007, total capital expenditures for TSMC consolidated group will be at the low end of our previous guidance to be around US$2.6 billion, which includes the US$82 million acquisition of eight-inch equipment that we announced recently.

TSMC
October 25, 2007	Page 7

VI. Recap of Recent Important Events & Announcements

l	TSMC Signs Contract with Atmel to Purchase Eight-inch Wafer Fabrication Equipment (2007/10/09)
l	TSMC Joins SOI Industry Consortium (2007/10/08)
l	U.S. District Court Issues Verdict on TSMC-UniRAM Case (2007/09/26)
l	California Court Issues Order on TSMC Motion for Preliminary Injunction Against SMIC (2007/09/14)
l	TSMC Increases Stake in Vanguard (2007/08/27)
l	TSMC Starts Production of 0.13-micron Embedded Flash Process (2007/08/21)
l	Microsoft Embraces TSMC 90nm Embedded DRAM Process for Xbox 360 (2007/08/15)

* Please visit TSMC’s Web site (http://www.tsmc.com) for details about these and other announcements.

TAIWAN SEMICONDUCTOR MANUFACTURING COMPANY LIMITED AND SUBSIDIARIES
Consolidated Condensed Balance Sheets
(Expressed in Millions of New Taiwan Dollars (“NTD”) and U.S. Dollars (“USD”)) ⁽¹⁾

	September 30, 2007 (unaudited)								June 30, 2007 (audited)					September 30, 2006 (unaudited)					QoQ					YoY
	USD			NTD			%		NTD			%		NTD			%		Amount			%		Amount			%
ASSETS
Current Assets
Cash and Cash Equivalents	$	3,010		$	98,328			16.8	$	163,391			25.6	$	92,903			16.5	$	(65,063	)		-39.8	$	5,425			5.8
Investments in Marketable Financial Instruments		2,390			78,064			13.3		69,685			10.9		71,192			12.6		8,379			12.0		6,872			9.7
Accounts Receivable — Trade		1,297			42,357			7.2		37,054			5.8		37,726			6.7		5,303			14.3		4,631			12.3
Inventories, Net		751			24,532			4.2		24,045			3.8		20,338			3.6		487			2.0		4,194			20.6
Other Current Assets		207			6,775			1.2		10,464			1.7		6,149			1.1		(3,689	)		-35.3		626			10.1
Total Current Assets		7,655			250,056			42.7		304,639			47.8		228,308			40.5		(54,583	)		-17.9		21,748			9.5
Long-Term Investments		1,408			45,991			7.8		45,153			7.1		51,060			9.1		838			1.9		(5,069	)		-9.9
Property, Plant and Equipment		24,087			786,850			134.2		767,100			120.3		706,191			125.4		19,750			2.6		80,659			11.4
Less: Accumulated Depreciation		(15,968	)		(521,614	)		-89.0		(502,495	)		-78.8		(445,525	)		-79.1		(19,119	)		3.8		(76,089	)		17.1
Property, Plant and Equipment, Net		8,119			265,236			45.2		264,605			41.5		260,666			46.3		631			0.2		4,570			1.8
Other Assets		769			25,124			4.3		23,037			3.6		23,314			4.1		2,087			9.1		1,810			7.8
Total Assets	$	17,951		$	586,407			100.0	$	637,434			100.0	$	563,348			100.0	$	(51,027	)		-8.0	$	23,059			4.1
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current Liabilities
Short-Term Bank Loans	$	3		$	98			—	$	99			—	$	—			—		($1	)		-0.7	$	98			—
Accounts Payables (2)		382			12,492			2.1		11,064			1.8		10,587			1.9		1,428			12.9		1,905			18.0
Payables to Contractors and Equipment Suppliers (2)		360			11,745			2.0		17,103			2.7		15,589			2.8		(5,358	)		-31.3		(3,844	)		-24.7
Accrued Expenses and Other Current Liabilities		667			21,776			3.8		99,365			15.5		16,885			3.0		(77,589	)		-78.1		4,891			29.0
Current Portion of Bonds Payable and Long-Term liabilities		146			4,782			0.8		4,782			0.8		2,505			0.4		—			0.0		2,277			90.9
Total Current Liabilities		1,558			50,893			8.7		132,413			20.8		45,566			8.1		(81,520	)		-61.6		5,327			11.7
Bonds Payable		383			12,500			2.1		12,500			2.0		17,000			3.0		—			0.0		(4,500	)		-26.5
Other Long-Term Liabilities		563			18,395			3.1		18,649			2.9		18,919			3.4		(254	)		-1.4		(524	)		-2.8
Total Liabilities		2,504			81,788			13.9		163,562			25.7		81,485			14.5		(81,774	)		-50.0		303			0.4
Shareholders’ Equity Attributable to Shareholders of the Parent
Capital Stock		8,090			264,262			45.1		264,235			41.5		258,258			45.8		27			—		6,004			2.3
Capital Surplus		1,644			53,713			9.2		53,726			8.4		53,858			9.6		(13	)		—		(145	)		-0.3
Retained Earnings		5,644			184,380			31.4		154,010			24.2		169,213			30.0		30,370			19.7		15,167			9.0
Treasury Stock		(28	)		(918	)		-0.2		(918	)		-0.1		(918	)		-0.2		—			0.0		—			—
Others		(5	)		(162	)		0.0		(167	)		-0.1		725			0.2		5			-2.5		(887	)		-122.3
Total Equity Attributable to Shareholders of the Parent		15,345			501,275			85.5		470,886			73.9		481,136			85.4		30,389			6.5		20,139			4.2
Minority Interest		102			3,344			0.6		2,986			0.4		727			0.1		358			12.0		2,617			359.7
Total Shareholders’ Equity		15,447			504,619			86.1		473,872			74.3		481,863			85.5		30,747			6.5		22,756			4.7
Total Liabilities & Shareholders’ Equity	$	17,951		$	586,407			100.0	$	637,434			100.0	$	563,348			100.0	$	(51,027	)		-8.0	$	23,059			4.1

Note:	(1) Amounts in New Taiwan dollars have been translated into U.S. dollars at the rate of NT$32.667 as of September 30, 2007.
	(2) Certain prior period balances have been reclassified to conform to the current period presentation.

TAIWAN SEMICONDUCTOR MANUFACTURING COMPANY LIMITED AND SUBSIDIARIES
Unaudited Consolidated Condensed Income Statements
For the Three Months Ended September 30, 2007, June 30, 2007, and September 30, 2006
(Expressed in Millions of New Taiwan Dollars (“NTD”) and U.S. Dollars (“USD”) ⁽¹⁾
Except for Per Share Amounts and Shares Outstanding)

	Q3 2007								Q2 2007					Q3 2006					QoQ					YoY
	USD			NTD			%		NTD			%		NTD			%		Amount			%		Amount			%
Net Sales	$	2,700		$	88,955			100.0	$	74,918			100.0	$	82,476			100.0	$	14,037			18.7	$	6,479			7.9
Cost of Sales		(1,464	)		(48,231	)		-54.2		(42,738	)		-57.0		(41,344	)		-50.1		(5,493	)		12.9		(6,887	)		16.7
Gross Profit		1,236			40,724			45.8		32,180			43.0		41,132			49.9		8,544			26.6		(408	)		-1.0
Operating Expenses
Research and Development Expenses (4)		(142	)		(4,691	)		-5.3		(4,301	)		-5.7		(4,309	)		-5.2		(390	)		9.1		(382	)		8.9
General and Administrative Expenses (4)		(87	)		(2,872	)		-3.2		(2,151	)		-2.9		(2,346	)		-2.8		(721	)		33.5		(526	)		22.4
Sales and Marketing Expenses (4)		(25	)		(808	)		-0.9		(994	)		-1.4		(845	)		-1.1		186			-18.6		37			-4.3
Total Operating Expenses		(254	)		(8,371	)		-9.4		(7,446	)		-10.0		(7,500	)		-9.1		(925	)		12.4		(871	)		11.6
Income from Operations		982			32,353			36.4		24,734			33.0		33,632			40.8		7,619			30.8		(1,279	)		-3.8
Non-Operating Income, Net		33			1,083			1.2		2,802			3.7		322			0.3		(1,719	)		-61.3		761			236.1
Investment Gains		24			782			0.9		488			0.7		709			0.9		294			60.1		73			10.3
Income before Income Tax		1,039			34,218			38.5		28,024			37.4		34,663			42.0		6,194			22.1		(445	)		-1.3
Income Tax (Expenses) Benefits		(109	)		(3,600	)		-4.1		(2,394	)		-3.2		(2,144	)		-2.6		(1,206	)		50.4		(1,456	)		67.9
Net Income		930			30,618			34.4		25,630			34.2		32,519			39.4		4,988			19.5		(1,901	)		-5.8
Minority Interest		(8	)		(248	)		-0.3		(146	)		-0.2		(30	)		0.0		(102	)		69.5		(218	)		738.0
Net Income Attributable to Shareholders of the Parent		922			30,370			34.1		25,484			34.0		32,489			39.4		4,886			19.2		(2,119	)		-6.5
Earnings per Share — Diluted	$	0.03		$	1.15				$	0.96				$	1.23				$	0.19			19.2	-$	0.08			-6.6
Earnings per ADR — Diluted (2)	$	0.17		$	5.75				$	4.82				$	6.15				$	0.93			19.2	-$	0.40			-6.6
Weighted Average Outstanding Shares — Diluted (‘M)(3)					26,410					26,409					26,395

Note:
(1)	Amounts in New Taiwan dollars have been translated into U.S. dollars at the weighted average rate of NTD32.948 for the third quarter of 2007.
(2)	1 ADR equals 5 ordinary shares.
(3)	Total diluted weighted average outstanding shares were 26,395M shares for 3Q06 after the retroactive adjustments for stock dividends and stock bonus.
(4)	Certain prior period balances have been reclassified to conform to the current period presentation.

	TAIWAN SEMICONDUCTOR MANUFACTURING COMPANY LIMITED AND SUBSIDIARIES
	Unaudited Consolidated Condensed Income Statements
	For the Nine Months End September 30, 2007 and 2006
	(Expressed in Millions of New Taiwan Dollars (“NTD”) and U.S. Dollars (“USD”) (1)
	Except for Per Share Amounts and Shares Outstanding)

	For The Nine Months Ended September 30
	2007								2006					YoY
	USD			NTD			%		NTD			%		Amount			%
Net Sales	$	6,934		$	228,771			100.0	$	242,444			100.0	$	(13,673	)		-5.6
Cost of Sales		(3,978	)		(131,256	)		-57.4		(121,087	)		-49.9		(10,169	)		8.4
Gross Profit		2,956			97,515			42.6		121,357			50.1		(23,842	)		-19.6
Operating Expenses
Research and Development Expenses (4)		(392	)		(12,934	)		-5.7		(12,245	)		-5.1		(689	)		5.6
General and Administrative Expenses (4)		(210	)		(6,926	)		-3.0		(6,297	)		-2.6		(629	)		10.0
Sales and Marketing Expenses		(81	)		(2,691	)		-1.1		(2,958	)		-1.2		267			-9.0
Total Operating Expenses		(683	)		(22,551	)		-9.8		(21,500	)		-8.9		(1,051	)		4.9
Income from Operations		2,273			74,964			32.8		99,857			41.2		(24,893	)		-24.9
Non-Operating Income, Net		173			5,715			2.5		2,038			0.8		3,677			180.4
Investment Gains		49			1,631			0.7		1,959			0.8		(328	)		-16.7
Income before Income Tax		2,495			82,310			36.0		103,854			42.8		(21,544	)		-20.7
Income Tax (Expenses) Benefits		(215	)		(7,102	)		-3.1		(6,280	)		-2.6		(822	)		13.1
Net Income before Cumulative Effect of Changes in Accounting Principles		2,280			75,208			32.9		97,574			40.2		(22,366	)		-22.9
Cumulative Effect of Changes in Accounting Principles (Net of Tax)		0			0			0.0		1,607			0.7		(1,607	)		-100.0
Net Income		2,280			75,208			32.9		99,181			40.9		(23,973	)		-24.2
Minority Interest		(16	)		(516	)		-0.2		(83	)		0.0		(433	)		523.2
Net Income Attributable to Shareholders of the Parent		2,264			74,692			32.7		99,098			40.9		(24,406	)		-24.6
Earnings per Share — Diluted	$	0.09		$	2.83				$	3.75				-$	0.93			-24.7
Earnings per ADR — Diluted (2)	$	0.43		$	14.14				$	18.77				-$	4.63			-24.7
Weighted Average Outstanding Shares — Diluted (‘M) (3)					26,410					26,395

Note:

(1)	Amounts in New Taiwan dollars have been translated into U.S. dollars at the weighted average rate of NTD 32.993 for nine months ended September 30, 2007.
(2)	1 ADR equals 5 ordinary shares.
(3)	Total diluted weighted average outstanding shares were 26,395M shares for the nine months ended September 30, 2006 after the retroactive adjustments for stock dividends and stock bonus.
(4)	Certain prior period balances have been reclassified to conform to the current period presentation.

	TAIWAN SEMICONDUCTOR MANUFACTURING COMPANY LIMITED AND SUBSIDIARIES
	Consolidated Condensed Statements of Cash Flows
	For the Nine Months Ended September 30, 2007 and for the Three Months Ended September 30, 2007, June 30, 2007, and September 30, 2006
	(Expressed in Millions of New Taiwan Dollars (“NTD”) and U.S. Dollars (“USD”)) (1)

	Nine Months 2007						3Q 2007			2Q 2007			3Q 2006
	(Unaudited)						(Unaudited)			(Unaudited)			(Unaudited)
	USD			NTD			NTD			NTD			NTD
Cash Flows from Operating Activities:
Net Income	$	2,264		$	74,692		$	30,369		$	25,484		$	32,489
Net Income Attributable to Minority Interest		16			516			248			146			30
Depreciation & Amortization		1,810			59,724			19,857			19,616			18,411
Deferred Income Tax		2			67			668			371			(136	)
Equity in Earnings of Equity Method Investees, Net		(49	)		(1,631	)		(782	)		(488	)		(709	)
Changes in Working Capital & Others		(284	)		(9,361	)		758			(10,384	)		2,593
Net Cash Provided by Operating Activities		3,759			124,007			51,118			34,745			52,678
Cash Flows from Investing Activities:
Acquisitions of:
Marketable Financial Instruments		(1,669	)		(55,072	)		(25,042	)		(14,234	)		(27,054	)
Investments Accounted for Using Equity Method		(176	)		(5,810	)		(5,810	)		—			(132	)
Property, Plant and Equipment		(1,946	)		(64,220	)		(24,917	)		(25,345	)		(28,256	)
Financial Assets Carried at Cost		(25	)		(808	)		(378	)		(218	)		(205	)
Proceeds from Disposal or maturity of:
Marketable Financial Instruments		2,169			71,554			22,282			30,013			18,486
Investments Accounted for Using Equity Method		—			—			—			—			—
Property, Plant and Equipment		1			26			15			10			217
Financial Assets Carried at Cost		8			269			255			—			105
Others		(121	)		(3,967	)		(866	)		(383	)		(147	)
Net Cash Used In Investing Activities		(1,759	)		(58,028	)		(34,461	)		(10,157	)		(36,986	)
Cash Flows from Financing Activities:
Increase (Decrease) in Guarantee Deposits		(38	)		(1,253	)		(447	)		(418	)		327
Proceeds from Exercise of Stock Options		12			402			105			175			97
Bonus Paid to Directors and Supervisors		(9	)		(286	)		—			(286	)		—
Repayment of Long-Term Bonds Payable		(76	)		(2,500	)		—			—			—
Cash Dividends Paid for Common Stock		(2,345	)		(77,387	)		(77,387	)		—			(61,743	)
Cash Bonus Paid to Employees		(139	)		(4,573	)		(4,573	)		—			(3,432	)
Others		9			296			322			2			13
Net Cash Provided by (Used in) Financing Activities		(2,586	)		(85,301	)		(81,980	)		(527	)		(64,738	)
Net Increase in Cash and Cash Equivalents		(586	)		(19,322	)		(65,323	)		24,061			(49,046	)
Effect of Exchange Rate Changes and Others		(6	)		(187	)		260			(944	)		497
Cash and Cash Equivalents at Beginning of Period		3,572			117,837			163,391			140,274			141,452
Cash and Cash Equivalents at End of Period	$	2,980		$	98,328		$	98,328		$	163,391		$	92,903

Note: (1) Amounts in New Taiwan dollars have been translated into U.S. dollars at the weighted average rate of NTD32.993 for the nine months ended September 30, 2007.

TABLE OF CONTENTS

TSMC 2007 Third Quarter Results Investor Conference October 25, 2007

Agenda Welcome 2007 3Q Consolidated Financial Results Q&A

Safe Harbor Notice TSMC's statements of its current expectations are forward- looking statements subject to significant risks and uncertainties and actual results may differ materially from those contained in the forward-looking statements. Information as to those factors that could cause actual results to vary can be found in TSMC's Annual Report on Form 20-F filed with the United States Securities and Exchange Commission (the "SEC") on April 20, 2007, TSMC's registration statement on Form F-3, filed with the SEC on May 8, 2007, and such other documents as TSMC may file with, or submit to, the SEC from time to time. Except as required by law, we undertake no obligation to update any forward-looking statement, whether as a result of new information, future events, or otherwise.

Net Income attributable to shareholders of the parent company Annualized ROE for the quarter based on average equity attributable to shareholders of the parent 3Q07 Result Highlights

Income Statements Net Income attributable to shareholders of the parent company

Balance Sheets & Key Indices

Cash Flows

Note: 1 Figures represent number of 6" wafers. Conversion to 8"-equivalent wafers is obtained by dividing this number by 1.78. 2 Figures represent number of 12" wafers. Conversion to 8"-equivalent wafers is obtained by multiplying this number by 2.25. Installed Capacity

Capital Expenditures 2007 CapEx to be around US$2.6 billion

Sales Breakdown by Technology

Sales Breakdown by Application

Note: This chart does not reflect the actual shipment destination of sales. Sales Breakdown by Geography

Sales Breakdown by Customer

4Q07 Guidance Revenue is expected to be between NT$92 billion and NT$94 billion Gross profit margin is expected to be between 46% and 48% Operating profit margin is expected to be between 37% and 39%

Recap of Recent Major Events TSMC Signs Contract with Atmel to Purchase Eight-inch Wafer Fabrication Equipment (2007/10/09) TSMC Joins SOI Industry Consortium (2007/10/08) U.S. District Court Issues Verdict on TSMC-UniRAM Case (2007/09/26) California Court Issues Order on TSMC Motion for Preliminary Injunction Against SMIC (2007/09/14) TSMC Increases Stake in Vanguard (2007/08/27) TSMC Starts Production of 0.13-micron Embedded Flash Process (2007/08/21) Microsoft Embraces TSMC 90nm Embedded DRAM Process for Xbox 360 (2007/08/15) * Please visit TSMC's Web site (http://www.tsmc.com) for details about these and other announcements.

http://www.tsmc.com invest@tsmc.com

SIGNATURES

     Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

	Taiwan Semiconductor Manufacturing Company Ltd.
Date: October 25, 2007	By	/s/ Lora Ho
		Lora Ho
		Vice President & Chief Financial Officer