Choi Tae-won, chairman of SK Group, announced on August 31 that SK Hynix is considering establishing a semiconductor joint venture in Japan for memory chip production.
According to Bloomberg, Choi made the remarks during a meeting of the Korea-Japan Chamber of Commerce held in Sendai, Japan. He stated that the company is looking at locations across Japan, saying, "We are considering anywhere with abundant power and water." However, he did not respond to questions regarding potential partners or specific locations for the facility.
Japan is home to major semiconductor material and equipment companies, such as Tokyo Electron, as well as key customers like Sony. Additionally, U.S. semiconductor firm Micron Technology operates a plant in Hiroshima. The Japanese government's policy of providing substantial subsidies to attract foreign semiconductor companies is also seen as a positive factor.
SK Hynix is exploring global semiconductor production sites to meet the soaring demand for data storage driven by the AI boom. The company plans to invest 54 trillion won (approximately $39 billion) to expand its domestic semiconductor manufacturing facilities and is constructing an advanced memory packaging facility in West Lafayette, Indiana.
This exploration of sites in Japan is interpreted as a move to strengthen collaboration with local customers and suppliers. SK Hynix holds over 14% of shares in Japanese flash memory manufacturer Kioxia through Bain Capital SPC.
Last week, SK Hynix CEO Kwak Noh-jung also mentioned that the company is carefully considering ways to jointly develop the NAND flash market with customers and partners.
However, an SK Hynix representative stated, "Our position remains unchanged that we are considering Japan as one of the candidates for a new production base," adding that there have been no specific discussions regarding joint venture establishment or investment plans.
* This article has been translated by AI.
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