ArrowArtboardCreated with Sketch.Title ChevronTitle ChevronIcon FacebookIcon LinkedinIcon Mail ContactPath LayerIcon MailPositive ArrowIcon PrintIcon Twitter
Semiconductors

Renesas to make auto chips at alternative plant

Company to shift production to western Japan after fire at factory north of Tokyo

Japanese chipmaker Renesas is looking for more alternative production sites to make up for lost output, and placing orders with overseas manufacturers.   © Reuters

TOKYO -- Renesas Electronics is using a factory in Japan's western Ehime Prefecture to make automotive semiconductors after a fire at another of its plants, in Ibaraki Prefecture north of Tokyo, halted production there.

Renesas' Saijo factory in Ehime has 200 mm wafer fabrication lines and mainly makes chips for cars. The company has not disclosed the scale of the output at the alternate site. Renesas continues to shift production to other factories and place orders with overseas chipmakers to make up for the shortfall.

The N3 building at Renesas' Naka factory in Ibaraki, which turns out semiconductors for cars, was damaged in a fire on March 19. Parts of the fabrication lines were lost. It is expected to take a month to resume production at the plant, and around 100 days to return shipments to normal.

Renesas President and CEO Hidetoshi Shibata told reporters last week that "two-thirds of the products made in the N3 building can be produced elsewhere." The company also estimates that 90% of the products could be made at other locations, even if the Naka factory production lines were closed for two months.

It generally takes time to prepare production lines for semiconductors. It will take about 90 days from the time of the fire to begin shipments of chips from other plants.

Sponsored Content

About Sponsored Content This content was commissioned by Nikkei's Global Business Bureau.

You have {{numberArticlesLeft}} free article{{numberArticlesLeft-plural}} left this monthThis is your last free article this month

Stay ahead with our exclusives on Asia;
the most dynamic market in the world.

Stay ahead with our exclusives on Asia

Get trusted insights from experts within Asia itself.

Get trusted insights from experts
within Asia itself.

Try 1 month for $0.99

You have {{numberArticlesLeft}} free article{{numberArticlesLeft-plural}} left this month

This is your last free article this month

Stay ahead with our exclusives on Asia; the most
dynamic market in the world
.

Get trusted insights from experts
within Asia itself.

Try 3 months for $9

Offer ends October 31st

Your trial period has expired

You need a subscription to...

  • Read all stories with unlimited access
  • Use our mobile and tablet apps
See all offers and subscribe

Your full access to Nikkei Asia has expired

You need a subscription to:

  • Read all stories with unlimited access
  • Use our mobile and tablet apps
See all offers
NAR on print phone, device, and tablet media

Nikkei Asian Review, now known as Nikkei Asia, will be the voice of the Asian Century.

Celebrate our next chapter
Free access for everyone - Sep. 30

Find out more