Tokai Rika spending $43M to boost auto chip output

February 27, 2006 – Tokai Rika Co. plans to build a new fab to eventually quadruple its output of semiconductors for the automotive market, according to the Nihon Keizai Shimbun.

The 5 billion yen (about US $42.8 million) facility, built at the company’s complex in Aichi Prefecture, would produce 1 million units during its first month, and expand to 2 million units/month by 2010. The chips will be used for applications such as in-vehicle local-area networks and high-frequency devices for anti-theft systems.

Tokai Rika wants to expand its current in-house production ratio for semiconductors of 10%, to meet demand for chips used in sensors and other automotive applications.


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