S/ Ota Hiroo, Kioxia Holdings CEO / We would like to make a further investment on the scale of 5 trillion yen.

S/ Takaichi Sanae, Prime Minister / The government greatly welcomes the plan for an additional 5 trillion yen investment.

Kioxia Holdings CEO Ota Hiroo told Prime Minister Takaichi Sanae that his company and fellow memory chipmaker Sandisk expect to make new investments totaling about 5 trillion yen over six years through 2032, contingent on government support.

He said plans include constructing a memory production building at Kioxia’s Kitakami plant in Iwate Prefecture, northeastern Japan.

The prime minister responded that she hopes the companies will work with local governments to promote the formation of industrial clusters.

The Takaichi government has placed importance on the semiconductor sector as part of its growth strategy.

Kioxia’s Ota also said the companies are expected to pay more in corporate taxes than the amount they receive in government subsidies.

Takaichi welcomed the prospect, saying it represents a positive cycle of natural growth where tax revenue increases without raising tax rates.