UPDATE 1-TSMC sees semiconductor outlook improving

* Semiconductor outlook better than month ago

* Global semiconductor sales will still fall significantly (Adds details, quotes)

TAIPEI, March 27 - TSMC, the world's biggest contract chip maker, said on Friday the outlook for the global semiconductor industry was better than it was a month ago.

Earlier this year, TSMC told an investor conference that it saw global semiconductor sales falling by 30 percent this year from last year, as global electronics demand reels from a sharp downturn.

"Things are looking slightly better than what it was a month ago," TSMC Chairman Morris Chang told reporters on the sidelines of a Taiwan-EU business summit organised by the European Chamber of Commerce. "However, compared to last year, (sales) will still fall by quite a lot."

Earlier this month, Taiwan Semiconductor Manufacturing Co Ltd raised its first quarter sales and margin forecasts due to rush orders from China, indicating a trend of falling sales that began six months ago had hit bottom.

Some of Taiwan's tech companies have been enjoying rush orders from China as electronics firms restock inventory after large cutbacks in production previously.

In February, local media reported that Chang said the global semiconductor industry was already near the bottom, but any rebound was likely to be slower than its rapid decline.

Shares of TSMC, which counts Texas Instruments and Nvidia among major clients, were up 0.19 percent, underperforming the main TAIEX index's gain of 0.5 percent. (US$1=T$33.8)