US chipmaker Micron Technology is set to invest approximately Y1.5tn ($9.6bn) to establish a new facility in western Japan for the production of high-bandwidth memory (HBM) chips, reported Nikkei Asia citing individuals familiar with the details.
The planned factory will be built within Micron’s existing Hiroshima plant in Higashi-Hiroshima. Construction is scheduled to begin in May 2026, with shipments targeted for 2028.
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The Japanese Ministry of Economy, Trade and Industry (METI) is set to provide subsidies up to Y500bn for the venture.
The facility will produce next-generation HBM chips, which play a significant role in AI systems by working with graphics processing units (GPUs) from companies such as Nvidia.
These chips are designed for high memory capacity and rapid data transfer, supporting the increased processing requirements of generative AI technology.
Apart from the Hiroshima plant, Micron currently operates major facilities in both Taiwan and the US. So far, the company’s advanced HBM chip production has been concentrated in Taiwan.
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By GlobalDataMicron introduced an extreme ultraviolet lithography (EUV) system at its Hiroshima site in May, marking the first use of this technology for mass chip production in Japan.
EUV lithography is said to represent a crucial step in manufacturing advanced chips.
The new project marks Micron’s first major expansion since 2019 and is expected to enhance domestic supply of AI-related semiconductors in Japan amidst ongoing global shortages and supply chain risks.
Micron is claimed to be the third-largest producer globally of dynamic random access memory (DRAM) chips. It acquired Elpida Memory’s plant in Higashi-Hiroshima after the Japanese company collapsed in 2013.
In January 2025, Micron announced plans to invest S$9.6bn ($7.4bn) in Singapore over the coming years to address the growing demand for advanced memory chips fuelled by AI.
As part of this, the US-based semiconductor company began construction of a new HBM advanced packaging facility adjacent to its current operations in Singapore.
