[News] Renesas Reportedly Struggles with Takasaki Plant Future and Domestic Workforce Uncertainty

Amid the uncertainty of U.S. chip tariffs, Japan’s semiconductor companies—with limited presence in the U.S.—are gearing up for tougher times. Renesas, in particular, faces mounting pressure, as Newswitch highlights growing concerns over the future of its Takasaki plant and looming domestic workforce uncertainty.

This is far from the only challenge facing the Japanese semiconductor giant. As Nikkei reported, Renesas posted a staggering ¥175.3 billion net loss for January to June 2025, a sharp drop from a ¥139.5 billion profit a year earlier. This reportedly marks its first half-year deficit in six years and the largest loss since 2016, and the plunge was mainly due to a ¥235 billion hit tied to the bankruptcy of Wolfspeed.

Uncertain Future for Takasaki Plant

Now, according to Newswitch, doubts are growing over the future of Renesas’ factories, particularly its Takasaki plant, which focuses on 6-inch SiC wafers. Citing CEO Hidetoshi Shibata, the report highlights that maintaining current operating rates is already a struggle, positioning the plant as a leading candidate for downsizing or closure.

As per Nikkei, price competition with Chinese rivals is expected to intensify over the medium to long term, making it difficult for Renesas—as a latecomer—to generate quick profits from SiC chip production.

Nikkei noted that Renesas had initially planned to begin manufacturing SiC power chips for EVs in early 2025 at its Takasaki plant in Gunma Prefecture. However, the company has since disbanded the SiC team at the Takasaki facility.

Rising Pressure on Domestic Workforce

Newswitch also highlights Renesas’ mid-July announcement to boost office attendance, mandating employees to work on-site three days a week. The management briefing also revealed plans to “expand talent in low-cost regions,” signaling a shift toward hiring more staff abroad—adding pressure on employees in Japan, the report says.

According to the report, Renesas plans to grow its India workforce to 1,000 employees by the end of 2025, signaling a push in this direction.

Meanwhile, Chinese rivals are seizing the opportunity by actively recruiting Renesas’ talent. The report notes that Will Semiconductor, a Chinese firm and parent company of U.S. image sensor leader OmniVision, has posted job openings for power semiconductor experts in Takasaki. As Chinese companies ramp up their power semiconductor efforts, they are aggressively targeting skilled Japanese engineers, the report adds.

Read more

• [News] Renesas Reportedly Pushes 2030 Sales Goal Back 5 Years After JPY250B Hit from Wolfspeed Fallout
• [News] Renesas Reportedly Abandons SiC Production Plan Amid Chinese Price War, Wolfspeed Uncertainty

(Photo credit: Renesas)