TOKYO (Reuters) -Japan’s Kioxia Corp said on Friday it would slash wafer input volume for chip production by about 30% at its Yokkaichi and Kitakami flash memory plants from October amid weakening global demand for electronic devices.
“The company will continue to review and adjust operations as needed,” it said in a statement, adding it remained confident in the mid- to long-term growth outlook for the flash memory market.
Kioxia operates the Yokkaichi and Kitakami plants jointly with Western Digital Corp. The plants are in central and northern Japan, respectively.
Rival memory chipmaker Micron Technology said on Thursday it was cutting its investment plans by 30% amid a fall in demand for PCs and smartphones and reducing investment in fabrication by 50% in the new fiscal year.
Weakening global demand for electronic devices is hitting Japan. The country’s output of electronic parts and devices in August fell 6.3% from the prior month largely due to falling memory chip production, the government said on Friday.
(Reporting by Kantaro Komiya and Daniel Leussink; Editing by Chang-Ran Kim, Jason Neely and Jamie Freed)