Rapidus to Receive ¥260 Bil. in Extra Aid

Jiji Press

11:09 JST, April 26, 2023

TOKYO (Jiji Press) — Japan’s industry ministry Tuesday said it will provide ¥260 billion in additional aid to Rapidus Corp. for its construction of a next-generation semiconductor plant in Chitose, Hokkaido.

The government will step up its financial support for Tokyo-based Rapidus, which estimates that a total of ¥5 trillion is needed for the plant.

At the plant, Rapidus aims to start mass-producing chips using a 2-nanometer process in 2027, which are crucial to cutting-edge technologies such as artificial intelligence and quantum computing.

“Advanced semiconductors are a strategically indispensable technology,” industry minister Yasutoshi Nishimura told a press conference, adding that the government will provide necessary support further.

The ministry has approved Rapidus’ business plan for fiscal 2023, which includes the construction of a building to house a prototype line expected to be operational as early as 2025 and the acquisition of advanced chipmaking equipment.

The newly announced aid has boosted the ministry’s total subsidies for the planned factory to ¥330 billion.