According to a report from the Commercial Times, TSMC, a world leader in foundries, has established a factory in Kikuyo, Kumamoto City, Kyushu. Packaging industry giant ASE Technology Holdings (ASE) is also building a factory in Kitakyushu. These moves could lead to Japan’s semiconductor production consolidating both front-end and back-end processes and forming a cluster in Kyushu.
The development could lead to a revival of Kyushu’s semiconductor industry, once known as “Silicon Island” in Japan, and attract more semiconductor supply chain companies to the region.
Additionally, related equipment and inspection companies are also based in Kumamoto, including MA-tek, semiconductor transmission and storage solutions provider Gudeng Precision, and semiconductor materials distributor Topco Technologies Corp. (Topco), the report noted.
MA-tek, a leader in semiconductor testing and analytical services, opened its first laboratory in Japan in 2019 and a second laboratory in Kumamoto in 2023. Since their establishment, these laboratories have consistently achieved growth rates above the company average.
With the rise of AI applications, many Japanese clients have AI chip development projects, increasing the demand for MA-tek’s material analysis (MA) and advanced process inspection services.
MAT has decided to increase its capital investment to NT$1.2 billion to NT$1.4 billion this year to take advantage of advanced process and packaging opportunities brought about by AI.
The funds will be used to expand and upgrade testing and research facilities in Nagoya and Kumamoto, as well as to establish a third research facility in Hokkaido, and are expected to start contributing to earnings from the first quarter of 2025.
Meanwhile, Furukawa Precision plans to build a new factory in Kurume, located halfway between Fukuoka and Kumamoto, in the second quarter of this year, with a planned floor area of approximately 3,000 tsubo (approximately 10,000 square meters).
The investment amount for Furukawa Precision in Kurume, including equipment procurement, is estimated to be about NT$400-450 million. Construction is expected to begin by the end of this year, with production to start by the end of 2025.
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(Photo: JASM)
This article cites the following sources: Commercial Times.
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