Japan-U.S. Semiconductor Project Under Strategic Investment Initiative
Overview
On Wednesday, October 14, U.S. time, Japan and the United States agreed to carry out a semiconductor manufacturing project under the Strategic Investment Initiative. Since the initiative was announced last September, the two countries have advanced coordination through meetings of a consultative committee and other means. The first semiconductor project under the initiative will be carried out in New York State. The total project value is approximately $10 billion (approximately ¥1.6 trillion), with construction scheduled to begin within 2026. The project could expand to approximately $21 billion through future additions to production facilities. It will increase manufacturing capacity for mature-node semiconductors and build a resilient supply chain between Japan and the United States. Japanese companies are expected to expand their businesses by supplying related equipment, machinery, and materials and components, as well as by purchasing products; small and medium-sized enterprises are also expected to benefit.
Key points
- Japan and the United States agreed to carry out the first semiconductor project under the Strategic Investment Initiative in New York State.
- The total project value is approximately $10 billion (approximately ¥1.6 trillion), with potential to expand to approximately $21 billion in the future.
- The project will increase manufacturing capacity for mature-node semiconductors and build a resilient supply chain between Japan and the United States.
Overview
Japan and the United States have advanced various forms of coordination on the Strategic Investment Initiative, announced last September, through meetings of a consultative committee and other means.
On Wednesday, October 14, U.S. time, Japan and the United States agreed to carry out a semiconductor manufacturing project under the initiative.
Impact
The project will increase manufacturing capacity for mature-node semiconductors, which are essential for automobiles, industrial machinery, smartphones, and AI data centers, and will enable Japan and the United States to work together to build a resilient supply chain in strategic fields important to economic security.
Japanese companies are expected to expand their businesses by supplying related equipment and machinery, while small and medium-sized enterprises supplying components and other items within the supply chain are also expected to benefit.
Details
The project will be carried out in New York State, United States.
Tokyo Electron Limited and SCREEN Holdings Co., Ltd. have expressed interest in supplying manufacturing equipment; Tokyo Ohka Kogyo Co., Ltd. in supplying materials and components; and Renesas Electronics Corporation in purchasing products. Among small and medium-sized enterprises, Fujikin Incorporated and Kusakawa Seiki Co., Ltd. have expressed interest in supplying manufacturing equipment, materials, and components.
Japan and the United States will continue to work closely together to ensure the project's prompt and smooth implementation.