Renesas Electronics Corporation (TSE: 6723), a premier supplier of advanced semiconductor solutions, today announced its decision to phase out production at the Takasaki Factory (Takasaki, Gunma Prefecture, Japan), operated by its manufacturing subsidiary, Renesas Semiconductor Manufacturing Co., Ltd. Renesas also decided to maintain and strengthen its research and development (R&D) functions currently located at the site, with the current location and nearby areas being considered as the primary candidate sites.

The semiconductor industry is facing structural changes across the supply chain, particularly for 6-inch wafer lines, as production materials and maintenance support for manufacturing equipment are being discontinued. At the Takasaki Factory, which operates a 6-inch wafer line, continued production of certain products has become increasingly difficult mainly due to aging manufacturing equipment and utility facilities.

Given these circumstances, Renesas has decided to gradually scale down and end manufacturing operations at the Takasaki Factory. To meet its commitment to provide a stable supply for customers, Renesas will carefully assess customer demand and build up the necessary inventory accordingly. Production at the Takasaki Factory will be discontinued within the next two to three years, with the closure of the factory to follow.

In addition, Renesas will reposition the R&D functions, which mainly cover analog ICs and discrete power semiconductors, to support the development of analog ICs and power semiconductors for data center and automotive applications, which are strategic focus areas for Renesas. Renesas remains committed to maintaining and strengthening these functions going forward.

The timing of the production discontinuation and the details of the R&D functions have not yet been determined and will be announced once finalized.

Renesas has been committed to providing a stable supply of products and will continue its efforts to minimize impact on customers. For employees affected by this decision, Renesas' fundamental policy is to maintain and secure employment opportunities, through reassignment opportunities, career support within and outside the company, and other measures.

Renesas will continue to address structural changes in the semiconductor industry and strengthen its competitive business foundation and focus on growth areas.

About Renesas Electronics Corporation

Renesas Electronics Corporation (TSE: 6723) empowers a safer, smarter and more sustainable future where technology helps make our lives easier. A leading global provider of microcontrollers, Renesas combines our expertise in embedded processing, analog, power and connectivity to deliver complete semiconductor solutions. These Winning Combinations accelerate time to market for automotive, industrial, infrastructure and IoT applications, enabling billions of connected, intelligent devices that enhance the way people work and live. Learn more at renesas.com. Follow us on LinkedIn, Facebook, X, YouTube and Instagram.

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