KYOCERA to Increase MLCC Production for 5G, ADAS and EV Technology with New Manufacturing Plant

Rhea-AI Summary

Kyocera Corporation has announced the construction of a new production facility at its Kagoshima Kokubu Campus in Japan to boost the production of multilayer ceramic capacitors (MLCCs). This move is in response to strong market demand, particularly from sectors like 5G technology and electric vehicles. Construction is set to start in February 2023, with operations beginning in May 2024. The project has an investment of approximately 15 billion yen (around USD 111 million) and is expected to generate annual production worth 10-20 billion yen by FY2026.

Positive

• New production facility to increase MLCC output, aligning with strong market demand.
• Total investment of approximately 15 billion yen (USD 111 million) demonstrating commitment to growth.
• Expected annual production value could reach up to 20 billion yen (USD 148 million) by FY2026.

Negative

• None.

Expanded multilayer ceramic capacitor production at Kagoshima Kokubu Campus in Japan will help meet strong market demand, increased production slated to begin in 2024

KYOTO, Japan--(BUSINESS WIRE)-- Kyocera Corporation (President: Hideo Tanimoto, hereinafter “Kyocera”) announced today that it will construct a new production facility at its Kokubu Plant Campus in Kagoshima, Japan, to increase its production capacity of multilayer ceramic capacitors (MLCCs), strengthen engineering development capabilities, and ensure ample manufacturing space as Kyocera’s business expands.

Architect’s rendering of the new facility (Graphic: Business Wire)

Demand for MLCCs is expected to grow as communication terminals and semiconductor devices become more compact and sophisticated. Additionally, the expanding commercialization of 5G data centers, ADAS (advanced driver assistance systems) and EV (electric vehicle) technology will be facilitated by smaller, more functional electronic components like MLCCs.

A signing ceremony held on August 17, 2022 included Kagoshima Governor Koichi Shiota, Kirishima City Mayor Shinichi Nakashige, and Kyocera officials. Construction will begin in February 2023 and the plant will begin operation in May 2024. The new plant will be located on the current site of Kyocera’s Monozukuri R&D Laboratory, which will be demolished in September, 2022.

In addition to enhancing its electronic components business, Kyocera aims to stimulate economic development in Kagoshima Prefecture and to create new employment opportunities in the community.

▪Outline of New Facility
Name	Plants No. 5-1-2 at Kyocera’s Kagoshima Kokubu Plant Campus
Address	1-1 Kokubuyamashita-cho, Kirishima-shi, Kagoshima Prefecture, Japan
Total investment	Approximately 15 billion yen (approx. USD111 million)
Building footprint	7,197 m2 (77,468 f2), steel construction, 6 stories
Total floor area	37,600 m2 (404,723 f2)
Construction plan	Construction to begin: February 2023 Operation to begin: May 2024
Production items	Multilayer ceramic capacitors (MLCC) and more
Expected production level	From May 2024 through March 2025: Approximately 10 billion yen (approx. USD74 million) per year FY2026: Approximately 20 billion yen (approx. USD148 million) thereafter

About KYOCERA

Kyocera Corporation (TOKYO:6971, https://global.kyocera.com/), the parent and global headquarters of the Kyocera Group, was founded in 1959 as a producer of fine ceramics (also known as “advanced ceramics”). By combining these engineered materials with metals and integrating them with other technologies, Kyocera has become a leading supplier of industrial and automotive components, semiconductor packages, electronic devices, smart energy systems, printers, copiers, and mobile phones. During the year ended March 31, 2022, the company’s consolidated sales revenue totaled 1.8 trillion yen (approx. US$15.1 billion). Kyocera is ranked #665 on Forbes magazine’s 2022 “Global 2000” list of the world’s largest publicly traded companies, and has been named among “The World’s 100 Most Sustainably Managed Companies” by The Wall Street Journal.

View source version on businesswire.com: https://www.businesswire.com/news/home/20220817005002/en/

KYOCERA Corporation (Japan), Corporate Communications

Kenichi Hara

Tel: +81-(0)75-604-3514

Fax: +81-(0)75-604-3516

webmaster.pressgl@kyocera.jp

Source: KYOCERA Corporation

FAQ

What is Kyocera's new facility in Kagoshima expected to produce?

Kyocera's new facility in Kagoshima will produce multilayer ceramic capacitors (MLCCs) and other electronic components.

When will construction of the new Kyocera plant begin?

Construction of the new Kyocera plant will begin in February 2023.

When is the new Kyocera facility expected to start operations?

The new facility is expected to begin operations in May 2024.

What is the total investment for Kyocera's new production facility?

The total investment for the new production facility is approximately 15 billion yen (about USD 111 million).

What is the expected annual production value from the new facility?

The new facility is expected to generate an annual production value of approximately 10 billion yen (USD 74 million) from May 2024 to March 2025, and around 20 billion yen (USD 148 million) in FY2026.