Kioxia and US-based SanDisk announced plans to invest approximately ¥5 trillion in total by 2032 to strengthen Japan's domestic memory manufacturing base. The companies are pursuing a long-term expansion plan centered on the Yokkaichi and Kitakami plants, including the development of the K3 building, with operations targeted to begin during fiscal 2029.
Kioxia and US-based SanDisk announced on 27 August 2026 that they expect to invest approximately ¥5 trillion in total in Japan through 2032, subject to government support. The plan covers the Yokkaichi Plant in Mie Prefecture and the Kitakami Plant in Iwate Prefecture, and is aimed at strengthening manufacturing equipment, plant infrastructure and advanced NAND technology to prepare for growing demand from AI and data centers. The two companies have invested approximately ¥9 trillion in capital expenditure in Japan over the past 25 years, making this plan a mega-scale investment to expand the country's domestic production base into the 2030s.
In Kitakami, site preparation has begun south of the K2 manufacturing building for construction of the K3 building, with operations targeted to begin during fiscal 2029. President Ota Hiroo (太田 裕雄) described the investment in K3 as being on the scale of approximately ¥1.8 trillion. Government support is a prerequisite for executing the investment, but the specific amount has not yet been determined. The companies have laid out a long-term strategy to create an extensive memory production network spanning the Yokkaichi and Kitakami sites and transform Japan into a memory hub for the AI era.
The companies emphasized their aim of increasing production capacity for storage products centered on NAND flash to meet growing AI demand. Spillover effects on the maritime economy and domestic employment are also anticipated. The plan is to secure sites and carry out building expansions and infrastructure development in advance, enabling rapid production increases when demand becomes clear. The Kitakami K3 building is positioned as an option for increasing production if demand grows.