Takuya Yamashina

TI Receives 2.1 Trillion Won in Subsidies and 10 Trillion Won in Tax Credits from US Semiconductor Act Texas Instruments (TI) will receive up to $1.6 billion (about 2.1 trillion won) in semiconductor subsidies from the U.S. government for the construction of three new semiconductor factories. The company anticipates an additional $6 billion to $8 billion (KRW 8.1 trillion to KRW 10.8 trillion) in tax credits and $10 million in funding for human resource development from the U.S. Treasury. TI is investing a total of $18 billion (KRW 24.3 trillion) to build three 300mm wafer fabs in Sherman, Texas, and Lehi, Utah, creating an estimated 2,000 manufacturing jobs. This investment aims to strengthen TI's competitive edge and increase internal manufacturing to over 95% by 2030. The subsidies are part of the U.S. Semiconductor Industry Support Act (CHIPS Act), which provides a total of $52.7 billion (KRW 75.5 trillion) in support over five years for semiconductor investment. #Semiconductors #SouthKorea https://lnkd.in/gKkNg8mv

SEMI “Semiconductor equipment market will grow by 17% next year…both pre- and post-processes are solid” The Semiconductor Equipment and Materials International (SEMI) predicts that the global semiconductor equipment market will reach $128 billion next year, showing a growth of 17%. Sales in both pre- and post-process sectors are expected to increase, with strong investment in China and demand for DRAM and high bandwidth memory (HBM) driving growth. Test equipment sales are expected to rise by 30.3% and assembly and packaging sales by 34.9% as demand for advanced semiconductors for high-performance computing increases. China, Taiwan, and Korea are expected to be the top three countries in equipment investment, with China's investment exceeding $35 billion this year. #Semiconductors #SouthKorea https://lnkd.in/g8Rexc_5

Why did VW experience a sudden slowdown? The primary reason is the influx of low-cost EVs from China. European car manufacturers are highly dependent on the Chinese market. VW, for instance, sells 30% of its new cars in China. It’s not just the economic slowdown. The rise of local manufacturers shows no signs of stopping. #AutomotiveIndustry #EVMarket #VW #ChinaAutoMarket #LocalManufacturerRise #EuropeAndChina #AffordableEVs #MarketShareBattle #EVTrends 欧州車の競争力、急低下　VW6割減益　中国市場は「EV2万ドル」　攻守逆転、成長戦略狂う - 日本経済新聞 https://lnkd.in/eBu9rNET

Taiwan's regional leader Lai Ching-te has escalated his calls for "Taiwan independence," pushing the idea of "two states." His assertions that "Taiwan has sovereignty" and that the People's Republic of China (PRC) cannot represent Taiwan are viewed as unfounded attempts to disrupt historical ties between Taiwan and the mainland. The perspective holds that Taiwan has always been part of China, reaffirmed post-1945 after its return from Japanese rule. The establishment of the PRC in 1949 is noted as solidifying its claim as the legitimate government of China, which includes Taiwan. Despite political discord stemming from civil conflict and foreign interference, the one-China principle remains vital in international relations, with over 180 countries recognizing it and the UN labeling Taiwan as "Taiwan, Province of China." Lai is criticized for misrepresenting facts to further his separatist agenda, suggesting that the Republic of China is synonymous with Taiwan, a notion perceived as divisive. The commentary warns that Lai's rhetoric could escalate tensions and threaten regional stability. It maintains that if the Democratic Progressive Party (DPP) persists with its separatist stance, serious repercussions may arise for the Taiwanese populace. The conclusion signals optimism that as national rejuvenation progresses, more Taiwanese will reject Lai's separatist efforts, moving towards reunification with those on the mainland. #AsiaRisk #GeopoliticalConflictandDisputes #China Follow us for daily updates on risk and operations in Asia! https://lnkd.in/gQNsZ_FQ

Invitation Program for International Companies in Regional Key Industries Kyoto Prefecture is promoting the “ZET-valley concept” to create innovative “zero carbon manufacturing” technologies (Zero Emission Technology), in fields where industries in Kyoto are globally competitive, such as EV, battery, and bio-manufacturing, and to implement these technologies in our society in collaboration with local governments and other organizations. In addition, we will enhance the environment for the creation of next-generation semiconductors by leveraging the expertise of universities and companies with a proven track record in developing and commercializing new materials for power semiconductors, which are essential for improving the performance of EVs. To accelerate these efforts, we recognize the importance of sector-specific incubation facilities, based on examples of industrial clusters formed overseas, that connect researchers, startups, investors, and large companies, and provide business matching and support for human resources, funding, and collaboration. Here in Kyoto, we intend to attract business opportunities for world-class incubators in relation to decarbonization and semiconductors. This project will invite prominent international incubators and related companies in the fields of decarbonization and semiconductors to collaborate with Kyoto-based researchers and startups, and to exchange views with Kyoto’s large companies, universities, and start-up ecosystem. The goal is to demonstrate the potential of industries in Kyoto to these international companies and attract incubation facilities to Kyoto going forward. https://lnkd.in/gt--RjMw

MDI Facility Disruptions Resurface? China PMDI Market Review - April 2024 MDI Facility Disruptions Resurface?  The MDI facility dynamics in North America are attracting market attentions. According to market sources, unplanned shutdowns have occurred at some North American MDI facilities, including BASF and Covestro. Their combined capacity contributes 44% of the total MDI capacity in North America. The impact on their supply and deliveries are under assessment. Before it, and in late March, BorsodChem Hungary declared force majeure on MDI products supply, which led to increasing PMDI exports from China to Europe in March. In March 2024, China exported 37 kT PMDI to Europe, a 345.1% increase from this February, according to China's customs statistics. If excluding the factors related to Chinese New Year holiday, China’s PMDI exports to Europe in March increased by 62.2% compared to this January.   China PMDI Market Review - April 2024 As of April 26, 2024, the average price of spot PMDI goods in China is around CNY 16,438/tonne, showing a 0.5% increase compared to this March (CNY 16,350/tonne), according to PUdaily. In this month, Chinese PMDI market showed a trend of bottoming out. The PMDI market prices climbed gradually from CNY 15,700-16,300/tonne on April 1 to CNY 16,400-17,000/tonne on April 29. The increase trend was attributed by the supports both from supply and demand sides. In terms of supply, The settlement prices from major PMDI suppliers were higher than market expectations; Covestro also increased its weekly contract prices to distributors week-by-week. All above provided strong support for the April market because the purchase costs from distributors and traders kept at relatively high levels. Major PMDI suppliers also reduced supplies to direct and/or indirect customers, alleviating ovearll sales pressures in distribution market. In terms of demand, the refrigerator and formaldehyde-free panel sectors continued their year-on-year growths in sales and outputs; following destocking measures, downstream manufacturers in construction sectors significantly increased their purchases for PMDI this month to gear up for the May Day holiday.   China PMDI Market Outlook – May 2024 In terms of supply, MDI facilities of BASF Shanghai and Wanhua Ningbo are scheduled to shut down for maintenance in this May, which may lead to supply allocations. In terms of demand, refrigerator, one of major PMDI downstream sectors, the production in May is forecasted to reach 8.5 million units, the highest level since the year of 2005, and will increase by 13.4% year-on-year, according to ChinaIOL.com. The robust demand provides a support for Chinese PMDI market.

Kyodo News survey suggests that Japan's ruling Liberal Democratic Party may lose three lower house seats in upcoming by-elections on April 28, potentially impacting Prime Minister Fumio Kishida's already unpopular leadership. The by-elections come at a time when the LDP is under scrutiny for income reporting issues and slush funds within its factions. The opposition is expected to secure victories in Tokyo and Nagasaki constituencies, with the Shimane district being the focus for the LDP. Failure to secure victory in Shimane could weaken Kishida's position, leading to potential challenges to his leadership. Public trust in the LDP has been eroded, with Kishida and opposition leader Kenta Izumi both addressing the need for political reform in the wake of the scandal. #AsiaOperations #PoliticsandElections #Japan Follow us for daily updates on risk and operations in Asia! https://lnkd.in/gjuWMzFv

Around 1,600 participants from various sectors in Taiwan gathered in New Taipei City to oppose the "Taiwan independence" narrative, emphasizing their commitment to peace and reunification. Attendees wore jackets endorsing the 1992 Consensus, promoting cross-Strait peace and shared prosperity, showcasing a unified stance against pro-independence rhetoric. Hung Hsiu-chu, former chairperson of the Chinese Kuomintang party, criticized the Democratic Progressive Party for historical distortions and confrontational policies towards mainland China. She called for cross-Strait cooperation and encouraged Taiwanese youth to acknowledge their Chinese heritage and its historical responsibilities. Wu Cheng-tien, chairman of the New Party, supported the idea that peaceful reunification is the best path forward. Wu Jung-yuan of the Labor Party warned about the risks of "Taiwan independence" advocates and external influences potentially leading to conflict. Gao An-go, a retired military officer and event organizer, emphasized that most Taiwanese do not support independence and aimed to deliver a strong peace message. Xiong Zi-jie, president of the Hunan Chamber of Commerce in Taiwan, echoed concerns about rising tensions and advocated for reducing independence threats to create a peaceful environment. #AsiaRisk #GeopoliticalConflictandDisputes #China Follow us for daily updates on risk and operations in Asia! https://lnkd.in/gei66KvX

Mitsubishi Corporation and Nissan to form new company to collaborate on Level 4 autonomous driving and home connection of EV batteries Nissan and Mitsubishi are launching a joint venture by fiscal 2024 to develop services for autonomous driving and electric vehicles (EVs). The initiative will focus on Level 4 mobility services that operate without human drivers, and will also explore using EV batteries for home energy storage. Funding for this venture will be equally shared, with demonstration tests planned to begin in 2025. Nissan is advancing its autonomous driving technology, while Mitsubishi enhances AI systems for route optimization. The collaboration aims to utilize insights from ongoing tests and changing regulations to create unmanned taxi services, with initial deployments set for Yokohama and Namie Town, where Nissan has previously demonstrated its technology. Beyond autonomous driving, the joint venture will connect EVs to homes and power grids, allowing homeowners to utilize stored electricity or sell it back to utilities. Additionally, they plan to implement systems for collecting used EV batteries for recycling and secondary use. Nissan targets 2.5 trillion yen in sales by fiscal 2030 despite challenges in applying autonomous vehicle technology commercially. Mitsubishi is also investing in software start-ups, foreseeing growth in the autonomous sector due to demographic shifts and labor shortages. The company is collaborating with key automotive partners on battery technologies and has paired with Honda to focus on EV battery reuse. Notably, Mitsubishi has started an automatic charging service with Mitsubishi Motors to optimize energy usage during cost-effective periods, demonstrating a strengthened alliance among Honda, Nissan, and Mitsubishi Motors in advancing next-generation vehicles. #AI #Japan https://lnkd.in/g28jmM2T

Wall Street Journal: China accelerates upgrading of "autonomous driving industry chain" to seize opportunities in the global driverless taxi market China's support for self-driving technology is positioning its companies to become global leaders in the driverless taxi market, potentially worth over $100 billion. Major cities like Beijing, Shanghai, and Guangzhou are implementing measures such as allowing unsupervised self-driving taxis, expanding testing areas, and developing infrastructure dedicated to autonomous vehicles. Shenyang recently committed to building new roads for these vehicles. With over 32,000 kilometers of roads available for driverless taxis, China's investment in high-tech industries aims to boost economic growth amidst other business challenges. Companies like Baidu and startups like Wenzhou are advancing self-driving technology. Analysts indicate that government policies are accelerating the industry's growth, although experts warn that self-driving technology may still take years to fully develop. Goldman Sachs estimates that by 2030, millions of commercial self-driving vehicles could be in operation globally, particularly in ride-hailing services. Baidu leads the sector with extensive operations, particularly in Wuhan, where it plans to expand its fleet of driverless taxis significantly. #MotiveAsia #Taiwan https://lnkd.in/gfVvXWpj

Semiconductor stocks drive the price to the 39,700 yen range for the first time since April / Afternoon investment strategy Semiconductor stocks drive the price to the 39,700 yen range for the first time since April. The yen weakened against the dollar, with demand to sell yen from actual users increasing. Export-related stocks are benefiting as the exchange rate approaches the 160 yen range. It is speculated that foreign investors may be involved in the market, leading to expectations of further market rise in the afternoon. #Semiconductors #Japan https://lnkd.in/gnjZJ4Nc