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Japan’s headline ¥242.9 billion (about US$1.64 billion) is the combined maximum value of two subsidy approvals for Kioxia and Western Digital’s NAND flash manufacturing joint venture—not a single new award. The February 2024 approval accounts for up to ¥150 billion; an earlier 2022 approval accounts for up to ¥92.9 billion. The dollar figure is Reuters’ conversion reported on February 6, 2024, while the approvals themselves are denominated in yen.
How much did Japan approve?
Japan approved up to ¥150 billion in February 2024 for advanced 3D NAND flash investment at the joint venture’s plants in Yokkaichi, Mie Prefecture, and Kitakami, Iwate Prefecture. METI’s policy summary illustrates that amount as US$1.00 billion using an example exchange rate of ¥150 per US dollar; it is not a fixed dollar value.
The roughly US$1.6 billion headline combines the 2024 approval with a separate approval of up to ¥92.9 billion made in 2022 for Yokkaichi. Together, the maximums are ¥242.9 billion. Reuters reported that combined figure as US$1.64 billion on February 6, 2024, so the dollar conversion reflects that report’s date rather than a current exchange rate.
| Approval | Maximum amount | Covered sites |
|---|---|---|
| 2022 | Up to ¥92.9 billion | Yokkaichi |
| February 2024 | Up to ¥150 billion | Yokkaichi and Kitakami |
| Combined maximum | ¥242.9 billion; reported as US$1.64 billion by Reuters on February 6, 2024 | Both approvals cover Yokkaichi; the 2024 approval also covers Kitakami |
Sources: Kioxia’s February 6, 2024 announcement, METI’s policy summary, and Reuters reporting carried by The Japan Times.
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What will the subsidies support?
The approvals support industrial investment in advanced 3D NAND flash memory production, not payments to consumers. The joint venture announcement describes the supported production as latest-generation 3D flash memory using wafer-bonding technology and future advanced nodes. NAND flash is a type of nonvolatile memory used in storage products, including SSDs, but the funding is directed at manufacturing capacity.
METI said the 2024 support was intended to back advanced NAND production and ten years of continuous production by the joint venture at Yokkaichi and Kitakami. In its February 6, 2024 press-conference excerpt, Minister Saito described support for “the expansion of production of advanced NAND memory chips and 10 years of continuous production” at the two locations. METI identifies the broader program’s aims as encouraging cutting-edge semiconductor investment and stable domestic production.
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Has the full amount been paid?
No. The approvals are maximum amounts, not evidence that the full sums have already been disbursed. Kioxia Holdings’ annual securities report for the fiscal year ended March 2025 stated that, as of March 31, 2025, approximately ¥6.8 billion remained unreceived from the earlier grant and approximately ¥119.8 billion remained unreceived from the ¥150 billion grant. Those are balances reported for that date, not a current 2026 payment update.
The two remaining-balance figures should not be read as a like-for-like comparison of project progress or production. They refer to separate awards and only establish the amounts Kioxia reported as unreceived on the filing date.
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Why is Japan supporting the investment?
The official rationale is semiconductor industrial policy: expand advanced memory production in Japan and support stable domestic supply. The 2024 approval ties aid to investment at named plants and a stated period of continuous production. These facts establish the intended manufacturing and supply-chain purpose; they do not establish that the full approved maximum has been paid or quantify the resulting output.
Independent reader supportYour contribution helps us test, update, and keep practical guides available for everyone.Does the subsidy make a Kioxia or WD SSD a better buy?
Not on the evidence available here. An SSD is one downstream use for NAND flash, but a government production subsidy does not by itself show that a particular retail drive is faster, more reliable, cheaper, or better supported. The announcement concerns industrial manufacturing investment, not a consumer rebate or a product-level performance claim.
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