Samsung Electronics is considering establishing a trial chip packaging factory in Japan, which would help it expand its packaging business and strengthen connections with Japanese chip manufacturers. It is also urging US friends to join forces to counter China's increasing power in chips and advanced technology.
Samsung intends to build a factory in Kanagawa Prefecture near Tokyo, where it already has a R&D facility, although the specifics and timing have yet to be decided, but the return is expected to be in the tens of billions of yen. Japan is attractive due to its relatively low labor costs and the presence of leading chip manufacturers.
Semiconductor manufacturers are working on novel packaging techniques that combine chips with different functions in a single package to increase overall capabilities and reduce costs. 3D packaging can also assist manufacturers in enhancing chip performance and energy efficiency.
South Korean President Yoon Suk Yeol visited Japan for the first time in 12 years this month, meeting with business leaders from both countries. We also note that Japan, under the influence of the United States, will limit the export of 23 types of microcircuits to China.
The Japanese government invested 19 billion yen in TSMC, the world's largest contract chip manufacturer from Taiwan.
Samsung established an advanced chip packaging division in South Korea last year. On Thursday, the country finalized a measure that would reward semiconductor companies and other businesses that invest in local manufacturing. Samsung intends to invest $230 billion in the chip manufacturing sector in South Korea over 20 years.
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