Taiwanese Corporation to Build Semiconductor Plant in Japan
Date: 2023-11-01 Author: Dima Zakharov Categories: TECHNOLOGY
In a significant development for the semiconductor industry, Taiwanese corporation Powerchip Semiconductor Manufacturing Corporation (PSMC) and Japanese financial conglomerate SBI Holdings have announced their joint venture to construct a cutting-edge semiconductor manufacturing plant in northern Japan. The project is estimated to cost 800 billion yen, which is approximately $5.3 billion USD.
The initial phase of this ambitious project, to be located in the Miyagi Prefecture, just north of Tokyo, is expected to require an investment of 420 billion yen. PSMC and SBI Holdings will contribute half of the plant's total cost, with the remainder coming from foreign and domestic investors, bank loans, and government subsidies.
The PSMC and SBI plant will specialize in producing semiconductors with specifications of 28 nanometers, 40 nanometers, and 55 nanometers. While these may not be the most advanced chips used in smartphones, they play a crucial role in automotive applications, making this venture strategically significant.
The companies have not disclosed specific timelines for construction and the commencement of operations. However, they have assured that more concrete details will be shared as the project progresses.
This venture underscores Japan's commitment to enhancing its semiconductor industry and domestic chip production. The Japanese government's efforts to bolster the country's semiconductor sector are evident, with the construction of this massive plant being a major step in that direction. The move aligns with Japan's goal to strengthen its position in the global semiconductor market.
The initial phase of this ambitious project, to be located in the Miyagi Prefecture, just north of Tokyo, is expected to require an investment of 420 billion yen. PSMC and SBI Holdings will contribute half of the plant's total cost, with the remainder coming from foreign and domestic investors, bank loans, and government subsidies.
The PSMC and SBI plant will specialize in producing semiconductors with specifications of 28 nanometers, 40 nanometers, and 55 nanometers. While these may not be the most advanced chips used in smartphones, they play a crucial role in automotive applications, making this venture strategically significant.
The companies have not disclosed specific timelines for construction and the commencement of operations. However, they have assured that more concrete details will be shared as the project progresses.
This venture underscores Japan's commitment to enhancing its semiconductor industry and domestic chip production. The Japanese government's efforts to bolster the country's semiconductor sector are evident, with the construction of this massive plant being a major step in that direction. The move aligns with Japan's goal to strengthen its position in the global semiconductor market.
