Semiconductor output value accounts for 56.3% of Japan, and a 7.1-magnitude earthquake occurred in the waters near the 'Silicon Island' Kyushu Island

News from this site on August 9th, Japan’s integrated circuit industrial base Kyushu Island An earthquake of magnitude 7.1 occurred near Japan yesterday (August 8th), which is expected to affect industries such as semiconductors and chemicals.

Earthquake situation

The Japan Meteorological Agency stated that at 16:42 local time on August 8 (15:42 Beijing time), an earthquake of magnitude 7.1 occurred in the waters near Miyazaki Prefecture, located at the southeastern tip of Kyushu Island, Japan , the epicenter of this earthquake was located at 31.8 degrees north latitude, 131.7 degrees east longitude, and the focal depth was 30 kilometers.

After the earthquake, the Japan Meteorological Agency issued a tsunami warning for the Pacific coasts of Kyushu Island and Shikoku Island. The wave height is expected to be 1 meter.

Introduction to Kyushu Island

Note from this website: Kyushu is a center of Japan’s semiconductor industry. Following the name of Silicon Valley in the United States, Kyushu has also been called the “Silicon Island” in Japan.

Kyushu Island includes 7 prefectures including Fukuoka, Oita, Miyazaki, Saga, Nagasaki, Kumamoto and Kagoshima. The GDP of each of them accounts for about 10% of Japan's total. Data in November 2023 shows that The region's Semiconductor output value accounts for 56.3% of Japan's total.

Well-known semiconductor manufacturers such as TSMC, Sony, Toshiba, NEC, Renesas, Rohm, Shengco, Mitsubishi Electric, and Texas Instruments have all set up factories in Kyushu, bringing together more than 1,000 semiconductor-related manufacturers.

According to data compiled by the Kyushu Bureau of Economy, Trade and Industry, Japan’s Kyushu semiconductor output value increased by 24.0% year-on-year to 1,153.3 billion yen in 2023, showing growth for the third consecutive year. The annual output exceeded 1 in the past 16 years (since 2007). trillion yen mark, reaching 1,034.5 billion yen.

• The total investment in TSMC’s Kumamoto Fabs 1 and 2 exceeds US$20 billion (approximately 3.14 trillion yen), and the Japanese government will subsidize the two factories up to 1.2 trillion yen.
• Sony started building a new image sensor factory in Koshi City, Kumamoto Prefecture in April this year;
• Rohm will also invest 300 billion yen to build a new factory in Kunitomi Town, Miyazaki Prefecture to produce power semiconductors and other products
• Sumco, a major silicon wafer manufacturer, will invest more than 400 billion yen in Kyushu. In addition to expanding the production capacity of existing factories, it will also build a new factory in Yoshinogari Town, Saga Prefecture.

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