As Kyushu’s semiconductor industry moves toward revival, this article examines why TSMC’s expansion into Japan led to the selection of Kyushu, why Sony’s presence was key, and the plans for the Kumamoto plant.
When plans for a Sony-TSMC plant in Kumamoto emerged in 2021, Chairman Yoshida Kenichiro (吉田 憲一郎) refrained from making an official comment, while referring to the importance of securing a stable supply of semiconductors in Japan. Subsequent media reports made the prospect of cooperation in Japan more concrete, and in October 2021 JASM, a joint venture funded by Sony, Denso and Toyota, announced plans to build its first plant in Kikuyo, Kumamoto Prefecture.
The reasons cited for selecting Kyushu include land availability, water resources and electricity costs, as well as workers’ commitment to quality and geographic proximity. A particularly significant factor is that Sony will manufacture image sensors and support TSMC’s production as one of its major customers. The view has been expressed that the project will help revive Kyushu’s former identity as a “Silicon Island.”
Kyushu’s semiconductor industry developed through the establishment and expansion of production bases from the 1960s onward, followed by withdrawals from the region beginning in the 1990s, and now faces an opportunity for renewed growth. Sony responded to a sharp increase in demand for image sensors by making successive investments in Nagasaki, Kumamoto and elsewhere as it pursued renewed growth. TSMC’s expansion into the region has now opened a new chapter, positioning Kyushu as the core of Japan’s semiconductor resurgence.