Skills shortage threatens Japan’s semiconductor industry

by time news

The Association of Electronics and Information Technology Industries in Japan estimates that about 35,000 engineers are missing so that Japan can return to its position in the field of chips

Japan is now facing a shortage of skilled engineers precisely when the country wants to strengthen the chip manufacturing sector and when TSMC, Sony and Kuyxia have announced plans to start building new chip manufacturing plants in Japan.

The Japan Electronics and Information Technology Industry Association (JEITA), in which major manufacturing companies such as Toshiba and Sony, approached the Japanese Ministry of Economy, Trade and Industry this week, arguing that the next five years are the last and biggest opportunity for Japanese chips to recover after years of global market share. The union estimates that Japan’s eight major chipmakers will have to hire about 35,000 engineers over the next ten years to keep pace with investment.

To address the shortage, the country’s major chipmakers are partnering with local universities and pouring in additional funding to recruit, hoping to attract talent that would previously prefer to join financial institutions or technology companies (mostly IT). In addition, the state also invests heavily in innovation in the industry. Just last month, US President Joe Biden and Japanese Prime Minister Fumio Kishida pledged to strengthen chip production capability and cooperation in advanced chip development.

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