Renesas to Halt 6 Plants in Japan for Up to 2 Months

Economy

Tokyo, March 7 (Jiji Press)--Japanese semiconductor maker Renesas Electronics Corp. <6723> will halt six domestic plants for up to two months due to China's economic slowdown, officials have said.

The six factories, including the Naka plant in Ibaraki Prefecture, near Tokyo, will stop for about a month from late April and for another month in August, according to the officials.

Renesas hopes to curb an increase in inventory as shipments of chips for machine tools and home electronics have turned out weaker than expected amid the Chinese deceleration, the officials said.

The company is also considering halting three other domestic plants and overseas factories for weeks.

"We'll manage inventory levels appropriately as we see uncertainty over the course of demand in the second half this year," an official said.

[Copyright The Jiji Press, Ltd.]

Jiji Press