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Japan reportedly intends to explore enacting laws to aid in the commercial manufacturing of advanced semiconductors, as revealed in a draft of this year's long-term economic policy plan.

This comprehensive roadmap—an annual document which outlines the administration's policy objectives—is anticipated to be completed by approximately June 21.

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"In order to strengthen the chip supply chain, we will promote domestic production sites, human resources, research and development in cooperation with countries and regions with the same objectives," the draft said. "In particular, we will consider necessary legislative measures for the mass production of next-generation semiconductors," it added. Notably, no specific chipmaker was mentioned in the announcement.

Recently, the industry ministry stated that Japan would require a new regulatory framework to assist chip foundry venture, Rapidus, in commencing mass production of state-of-the-art chips by 2027. As Tokyo advances its efforts to revitalize the nation's chip manufacturing sector, it has committed to offering up to JPY 920 billion (USD 5.94 billion) in subsidies to Rapidus.

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However, the subsidies are designated specifically for research and development (R&D) purposes. To facilitate financing for mass production, Japan requires a new framework, such as government guarantees, to attract funds from investors and financial institutions, according to a government source.

Rapidus, led by industry veterans, aims to achieve mass production on the northern island of Hokkaido in collaboration with IBM and the Belgium-based research organization, Imec.

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