Japanese Minister of Economy, Trade and Industry Yasumin Nishimura announced on October 3 that the Japanese government will provide financial support of up to 192 billion yen (approximately US$1 billion) for the memory chip project of Micron Technology (MU-US) Hiroshima factory. The funds will be used to develop and produce memory chips to ensure the stability of semiconductor supply.
Nishimura said the support plan covers nearly 40% of Micron's investment in Japan and helps Micron install extreme ultraviolet (EUV) lithography equipment from Dutch company ASML to manufacture advanced chips. These chips will be used in areas such as generative artificial intelligence (AI), data centers and autonomous driving.
He further emphasized that the current market situation is severe and investing during such times is crucial. This is to ensure the supply of cutting-edge chips needed for Japan's future economic security.
Prior to this, there was news that Japan’s Ministry of Economy, Trade and Industry was exploring providing subsidies of up to 190 billion yen to Micron Technology’s Hiroshima factory. Micron plans to introduce the most cutting-edge production equipment "extreme ultraviolet (EUV) lithography equipment" at the Hiroshima factory and mass-produce a new generation of DRAM (dynamic random access memory) starting in 2026.
In addition, Micron Technology said in May that with the support of the Japanese government, it would invest approximately US$3.6 billion in Japan's advanced memory chip manufacturing field.
Through these initiatives, the Japanese government aims to strengthen the development of the domestic semiconductor industry to ensure a stable supply of key technologies. This aid plan is also part of Japan's strategy to achieve semiconductor self-sufficiency to improve its competitiveness in the global semiconductor market.
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