Japan will create a scheme to subsidise the construction of domestic chip factories
Under the scheme, Japanese companies will be eligible for the subsidies on the condition that they ramp up chip production in times of short supply.
The nation’s Prime Minister Fumio Kishida has pledged economic security, including the domestic output of semiconductors.
The government is likely to invest in a new chip plant to produce semiconductors for automobiles, camera image sensors and other products.
The production at the silicone chip factories are likely to start operations by 2024.
It comes as a global chip shortage hits a variety of sectors, plagued by the pandemic and supply chain bottle-necks.
