Taiwan chipmaker PSMC abandons Japan plans after India deal

TOKYO/TAIPEI/MUMBAI -- Taiwan's Powerchip Semiconductor Manufacturing Corp. (PSMC) is pulling out of plans for a Japanese chip plant as the company shifts its focus to a technology partnership in India that will put less strain on its finances.

PSMC has told Japanese financial services group SBI Holding that it was unwilling to take on the risks associated with the Japan project. The two companies will dissolve a partnership they had formed to build the facility in northeastern Japan's Miyagi prefecture.