SK hynix is considering a Japanese factory and identified joint production with Kioxia as one possible option.

SK Group Chairman Chey Tae-won said SK hynix was considering building a factory in Japan. No final investment decision, factory location, production capacity or construction timetable was disclosed.

Chey identified joint production with Kioxia Holdings as one possible form of cooperation between the two memory-chip companies. He also listed research and development and supply-chain collaboration as possible areas for cooperation.

Chey said Kioxia had several advantages. He added that SK hynix could reduce its indirect stake in Kioxia if the companies could not identify a workable cooperation model, making the production proposal an option rather than a binding agreement.