Japan to Subsidize Chip Facility by Kioxia, Western Digital

Economy Politics

Tokyo, July 27 (Jiji Press)--Japan will provide up to 92.9 billion yen in subsidies to a semiconductor production facility in Yokkaichi in Mie Prefecture, central Japan, currently under construction by major Japanese chipmaker Kioxia Holdings Corp. and U.S. industry peer Western Digital Corp.

With the subsidy payment, announced by the industry ministry Tuesday, Japan aims to support the production of advanced flash memory chips, which are growing in demand.

The ministry approved the project by Kioxia and Western Digital to construct the chip production facility at Kioxia's mainstay Yokkaichi Plant effective Tuesday.

The new facility will produce sixth-generation 3D flash memory chips to be used in automobiles and data centers.

According to the ministry, Kioxia is the only domestic company capable of making the product.

[Copyright The Jiji Press, Ltd.]

Jiji Press