Japan Considers JDI Factory in U.S. Following Investment Commitment

Considering a $13 Billion U.S. Entry for Liquid Crystal and Display Production
Nintendo Files Lawsuit Over Tariff Policies of Trump Administration

Ryosei Akazawa, Japanese Minister of Economy, Trade and Industry Photo by AFP Yonhap News

The Japanese government is reportedly considering the possibility of Japan Display Inc. (JDI), a domestic liquid crystal panel company, operating a factory in the United States as part of a $550 billion investment plan under a trade agreement with the United States.

On March 8, the Nihon Keizai Shimbun (Nikkei) reported that U.S. Secretary of Commerce Howard Lutnick and Japanese Minister of Economy, Trade and Industry Ryosei Akazawa discussed Japan’s investment plans in the U.S. during their meeting in Washington, D.C. on March 6.

The second phase of the investment project discussed includes manufacturing of liquid crystal and display panels, nuclear power plants, and copper refining facilities. Among these, the liquid crystal and display sector involves Japan potentially establishing a factory in the United States, with JDI directly operating it. The expected scale of this project is estimated to be around $13 billion (approximately 19.3 trillion won). There are growing concerns in the U.S. about dependence on China for military-use liquid crystal products, and it appears that the U.S. is proposing that its ally Japan manufacture such products domestically.

JDI was established in 2012 through the integration of the small- and medium-sized panel businesses of Toshiba, Hitachi, and Sony. However, with the growth of Chinese companies, JDI's global market share dropped to ninth place in 2024. The company is currently undergoing workforce reductions and restructuring, and whether it can secure profitability from operating a U.S. factory remains a key issue.

Nikkei commented, "It is uncertain whether JDI can regain the stable demand it once enjoyed through Apple."

Meanwhile, the U.S. subsidiary of Japanese game company Nintendo filed a lawsuit with the U.S. Court of International Trade (CIT) on March 6, seeking a refund of reciprocal tariffs, citing damages suffered due to the tariff policies of the Donald Trump administration. In its complaint, Nintendo is demanding compensation based on the losses incurred as a result of the previous administration's measures.

This content was produced with the assistance of AI translation services.