Kyocera Corporation has announced plans to build a new facility to expand production for components, including organic semiconductor and crystal device packages. Accordingly, the planned new manufacturing site will be the largest for Kyocera in Japan.

The company held a signing ceremony for this recently, attended by Japan’s Kagoshima Governor Koichi Shiota, Satsumasendai City Mayor Ryoji Tanaka, and Kyocera officials. Construction of the new plant will begin next month at the company’s Sendai Plant Campus in Kagoshima.

Propels Production Capacity

Three converging factors are creating strong demand for Kyocera’s organic semiconductor packages and crystal device packages. First, smart vehicles are expanding the need for automotive cameras and high-performance processors used in advanced driver-assistance systems (ADAS) and autonomous driving. Second, new communications infrastructures, including fifth-generation (5G) base stations and datacenters, are gaining ground for deployment on a global scale. In addition, the rising trend toward digitalization is expanding demand for electronic products ranging from personal computers and smartphones to consumer goods, industrial automation, and others.

Kyocera will open the new facility in October 2023 to serve these growing trends, aiming for a 4.5-fold increase in production capacity for organic packages at the Sendai Plant Campus, as well as a substantial increase in capacity for crystal device packages.

Most importantly, Kyocera will be able to contribute to the community by stimulating economic development in Kagoshima. Therefore, creating new employment opportunities through expanded production of semiconductor components in response to global demand.

The six-story Plant No. 23 of Kyocera will have an approximate total investment of ¥62.5 billion (US$488 million) and will stand on a 12,380sq.m property.

Consequently, Kyocera targets to achieve production level of ¥33 billion (US$258 million) annually starting April 2024 to March 2025 period.