Japan's industry minister said Friday the government supports Taiwan Semiconductor Manufacturing Co.'s intention to build another chip fabrication plant in the country after the one currently under construction in Kumamoto Prefecture.
As the automobile and other industries in Japan grapple with a protracted global semiconductor shortage, there are increasing calls for a more geographically diverse and resilient supply chain as well as an increase in domestic production.
Economy, Trade and Industry Minister Yasutoshi Nishimura told reporters that he will consider what assistance the government can provide to the second plant after the investment plan is revealed.
"We would like to strongly promote investment from overseas as well as those from within the country, considering a variety of available support options," Nishimura said.
The government has earmarked subsidies to assist the construction of advanced semiconductor factories in a supplementary budget for fiscal 2022.
TSMC CEO C.C. Wei said Thursday that the world's leading contract chipmaker is considering building a second chip plant in Japan after the company reported record earnings for 2022 the same day.
