The Taiwanese TSMC and Japan’s Sony are considering jointly building a chip factory in Japan. According to Nikkei the total investment in the project is estimated at 800 billion yen (about 6.15 billion euros), and the Japanese government is expected to finance up to half of the amount.

The Kumamoto plant in southern Japan is expected to produce automotive chips, camera image sensors and other products affected by the shortage.

Both Sony and TSMC declined to comment substantially on the message, but TSMC said in July that it was reviewing a plan to establish production in Japan. As the global semiconductor shortage grows, so does the presence of the Taiwanese chipmaker, which has the largest share of the conductor market worldwide.

However, Japanese officials are concerned about the stability of the supply chain with a global shortage of chips forcing automakers to cut production.



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