NGK Insulators (TYO:5333) will invest ¥8.96 billion in FM Industries, which manufactures components for semiconductor manufacturing equipment, to increase production capacity by 1.2 times.
Production is scheduled to begin in January 2027.
FMI will establish efficient production lines, increasing production capacity by 20% compared with the previous level. It will establish a supply system capable of meeting the expected growth in semiconductor demand.
NGK produces ceramics for semiconductor manufacturing equipment at its Chita Site (Handa City, Aichi Prefecture) and at its manufacturing subsidiary NGK Ceramic Device.
FMI uses metal machining and thermal spraying technologies to produce the high-precision components needed for semiconductor manufacturing equipment.
In 2023, FMI invested some ¥3 billion to acquire a site of over 30,000m2 and a building with a floor area of over 10,000m2 in Arizona, US.
The company will now invest an additional ¥6 billion to install equipment and upgrade the building.
In the US, major semiconductor manufacturers are advancing capital investment. To meet semiconductor demand, including demand for semiconductors for AI, which is expected to continue growing, FMI will continue working not only to secure supply capacity but also to establish a robust supply chain premised on local production.
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Images: NGK
