Japan seeks to attract giant semiconductor chip manufacturers such as TSMC and Intel

Japan is planning to attract leading semiconductor chip manufacturers such as TSMC (Taiwan) and Intel. The Japanese government is expected to start a large-scale investigation to look into future prospects to invite major chip manufacturers around the world to come to their home countries.

The campaign is being undertaken by the Ministry of Economy, Trade and Industry. This is the move of the Japanese Government to its economy after the effects of COVID-19. Recently, many economies around the world are prioritizing the receipt of foreign investment to motivate the domestic economy as well as support a number of domestic businesses. Therefore, Japan will have a similar strategy when launching projects to attract foreign investment, namely semiconductor manufacturing.

In simpler terms, the Government aims to bring multinational corporations to Japan and then attract foreign investors through these large corporations. A good example is Canon, a well-known Japanese multinational company that manufactures and trades optical and imaging products, and has made several moves to withdraw from China to return to Japan.

In April 2020, Japan’s Domestic Investment Promotion Project for the supply chain was established with 220 billion Yen (equivalent to 2 billion USD). According to Japan’s Ministry of Economy, Trade and Industry, this budget fund will be responsible for rebuilding the domestic supply chain, which has become vulnerable due to COVID-19. In other words, the Government will create favorable conditions for bringing companies with their headquarters and production lines into Japan and increasing investment capital from abroad. This move will essentially remove China from the supply chain.

According to Gizmochina