Japan Targets $250 Billion Chip Sales by 2040, Targeting AI and Data Center Demand
Japanese government plans to grow semiconductor industry annual sales to 40 trillion yen ($250 billion) by 2040 to meet growing demand for AI and data center chips.
On March 11, 2026, the Japanese government announced an ambitious semiconductor industry development plan, targeting annual sales of 40 trillion yen (approximately $250 billion) by 2040. This plan aims to meet the growing demand for chips driven by artificial intelligence and data center industries.
40 Trillion Yen Target
The Japanese government stated it will secure the capacity to domestically develop and produce cutting-edge, next-generation semiconductors that will be crucial to this AI era. Achieving this goal would increase Japan's chip sales eightfold compared to 2020.
AI-Driven Chip Demand
With the flourishing of artificial intelligence and data center industries, demand for high-performance chips has surged. Recognizing this trend, the Japanese government is actively promoting the development of its semiconductor industry to ensure a leading position in the global chip competition.
Japan's Semiconductor Revival
This plan marks Japan's significant push to revive its semiconductor industry. For long, Japan has had advantages in semiconductor manufacturing equipment and materials, but lagged behind competitors like TSMC and Samsung in advanced chip production. Through large-scale investment, Japan hopes to restore its position in the global semiconductor supply chain.
Reference: SemiMedia、TechXplore