Samsung Eyes $75M Chip Test Line In Japan, Wants To Tap Low Labor Costs And More - Samsung Electronics Co (OTC:SSNLF)

Samsung Electronics Co, Ltd SSNLF is weighing a chip test line in Japan to bolster its advanced packaging business and forge closer ties with Japanese semiconductor equipment and materials makers.
The leading South Korean chipmaker is eyeing establishing the facility in Kanagawa prefecture, next to Tokyo, where it already has a research and development (R&D) center, Reuters reports.
The investment would likely be in the tens of billions of yen ($75 million).
Samsung proposes to deepen cooperation with Japanese companies to tap the country's relatively low labor costs and the leading chip equipment and materials makers, gaining access to a local "ecosystem."
The move coincides with the U.S.'s increasing canvassing of allies to work together to counter China's dominance in chips and advanced technology.
Japan on Friday committed to restricting exports of 23 types of chip-making tools, aligning its technology trade controls with U.S. sanctions on China.
In January, Samsung reported a fourth-quarter FY22 revenue decline of 8% year-on-year to KRW 70.46 trillion.
Semiconductor businesses revenue was KRW 20.07 trillion, down 24% Y/Y due to falling memory prices.
Samsung expects a market demand recovery in the second half of 2023.
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