Following TSMC’s first plant built in Japan’s Kumamoto Prefecture, Samsung has also chosen Yokohama as the location for its new facility in Japan.

According to Japanese media NHK’s report, South Korean Samsung Electronics has decided the establishment of a new semiconductor research and development center in Yokohama, Japan. with a total investment of JPY 40 billion (approximately USD 278 million).

The Japanese government is set to provide half of the total subsidy for this investment. The project is expected to commence next year and will focus on the research and development of advanced packaging.

Additionally, Samsung plans to hire around 100 local engineers in Japan and is cautiously evaluating the possibility of collaboration with Japanese research organizations.

NHK, citing sources, reported that Japanese Prime Minister Kishida Fumio plans to announce this expanded investment in Japan soon.

Given the continuous competition between China and the United States in the semiconductor sector, the calls for strengthening the domestic semiconductor supply chain in Japan have grown louder.

Consequently, the Japanese government has been encouraging foreign chipmakers to establish a presence in Japan, aiming to reinforce domestic supply chains.

As of May this year, Kishida Fumio met with seven semiconductor giants, including Intel, Samsung, Micron, and TSMC. The meeting demonstrated a commitment to revitalize Japan’s semiconductor industry. At that time, rumors about Japan providing subsidies to Samsung already existed, sparking market discussions.

(Photo credit: Samsung)