Japan is stepping up efforts to encourage SK hynix to build a memory chip plant in Miyagi Prefecture. Miyagi expects the project to create jobs and stimulate the local economy, while SK has not yet made a decision but has not ruled out the possibility of investing.
Momentum is building in Miyagi Prefecture to attract a semiconductor plant, and a conference on AI and semiconductors was held in Sendai. SK Group Chairman Choi Tae-won (崔泰源), who led a South Korean delegation, also attended the conference. Miyagi expects a major investment by one of the world’s leading memory chip manufacturers to create jobs and stimulate the local economy.
South Korean media reported that SK hynix is considering building a plant in Miyagi Prefecture. The company has not made a decision, but was reported not to have completely ruled out the possibility of investing. Within Japan, the Tokyo metropolitan area, Hokkaido and Kyushu, among other locations, are also being considered.
SK Group needs to expand its production capacity, and semiconductor shortages are expected to continue through 2030 amid rising demand for data centers driven by growing demand for AI. Japan is seeking to diversify supply chains by leveraging its ecosystem of semiconductor equipment and materials.
Meanwhile, the South Korean government has designated semiconductors as a national strategic sector, and government approval is reportedly required to establish overseas facilities. Experts believe South Korea will not readily approve overseas production of advanced AI-related chips.