Japan is set to significantly enhance its commitment to Rapidus Corp., allocating an additional ¥150 billion to bolster domestic advanced semiconductor production and reduce reliance on international supply chains.
Japan is set to deepen its commitment to Rapidus Corp., with the government preparing an extra ¥150 billion to support the chipmaker as it tries to build a domestic alternative in advanced semiconductors. Bloomberg reported that the Ministry of Economy, Trade and Industry plans to seek the money in its fiscal 2027 budget, underscoring Tokyo’s effort to narrow the gap with contract manufacturing leaders such as Taiwan Semiconductor Manufacturing Co.
The latest allocation adds to a growing public push behind Rapidus. According to the Japan Times, the company secured ¥267.6 billion in fresh funding in February from a mix of state and private sources, including ¥100 billion from the government and ¥167.6 billion from 32 companies such as Canon, Sony Group, SoftBank, Honda and Fujitsu. That round was intended to support Rapidus’s foundry project in Chitose, Hokkaido, where the company is trying to establish itself in next-generation chip production.
Argus Media reported that the additional ¥150 billion would be channelled through the Information-technology Promotion Agency and used to buy equipment for mass production of 2-nanometre chips, while also funding research and development into 1.4nm technology. If completed as planned, the new support would lift total government investment in Rapidus to ¥250 billion, reflecting Japan’s determination to rebuild a domestic foothold in the most advanced parts of the chip supply chain.
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