[News] Micron to Build a New Memory Chip Plant in Japan with USD 9.6B

Micron Technology has announced plans to invest JPY 1.5 trillion (approximately USD 9.6 billion) to build a new factory dedicated to high-bandwidth memory (HBM) chip production in Hiroshima, Japan. The facility will be located within Micron’s existing Hiroshima site, with construction scheduled to begin in May 2026 and HBM shipments expected to start around 2028.

The move aims not only to expand Micron’s manufacturing capacity but also to mitigate geopolitical risks. As demand for artificial intelligence (AI) and data centers continues to surge, HBM has become a critical component enabling AI computation — highly sought after by technology leaders such as NVIDIA, OpenAI and Meta Platforms.

Japan’s Ministry of Economy, Trade and Industry (METI) will provide up to JPY 500 billion in subsidies to support the project as part of broader efforts to revive and strengthen Japan’s semiconductor industry. Since 2021, the Japanese government has allocated roughly JPY 5.7 trillion to support semiconductor and AI technologies, and recently added a special budget of JPY 252.5 billion to further bolster this sector.

Micron’s Hiroshima operations previously secured JPY 774.5 billion in government support. The planned new fab will also introduce advanced extreme ultraviolet (EUV) lithography tools to enable next-generation HBM manufacturing. This marks Micron’s first new fab project since 2019, underscoring its confidence in future market demand and commitment to technological innovation.

(Photo credit: Micron)