SK Group Chair Says SK Hynix Is 'Looking All Over Japan' For New Manufacturing Plant to Keep Up With AI Chip Demand: Report

SK Hynix Inc. (NASDAQ:SKHY) is reportedly considering sites in Japan for chip manufacturing expansion to produce memory chips, as one of several options the company is exploring to keep up with surging demand while maintaining production costs.

‘Looking All Over Japan’

“We are looking all over Japan,” SK Group Chairman Chey Tae-won told Bloomberg News on the sidelines of meetings between members of South Korea and Japan’s chambers of commerce in Sendai.

“Anywhere with good power and good water,” he added.

When Benzinga reached for comment, SK Hynix cited the Bloomberg report without providing additional details.

The company, through an investment vehicle, holds a roughly 14% stake in the Japanese memory giant Kioxia Holdings Corp., one of the market’s hottest AI stocks.

Part of a Broader Global Expansion Push

Last week, the company said it would begin volume production of next-generation HBM4E chips at its Indiana facility in the third quarter of 2029, a project valued at more than $4 billion that will help expand SK Hynix’s presence in the U.S.

The company’s CEO, Kwak Noh-Jung, also warned that the current memory shortage is expected to persist through 2030.

According to Counterpoint Research, SK Hynix held 58% of the global HBM market by revenue in the first quarter of 2026, outpacing Samsung Electronics and Micron Technology (NASDAQ: MU), each at 21%.

In July, Micron began construction of a $9.3 billion expansion of a DRAM plant in Japan that will mass‑produce cutting‑edge semiconductors used for AI and other applications. 

How Have Shares fared in 2026?

SK Hynix’s Nasdaq-listed ADRs have fallen 4.15% since their listing in July.

Its Seoul-listed stock has risen 157.14% so far this year and 522.3% over the past year.

Price Action: SK Hynix’s Nasdaq-listed ADRs closed 0.35% lower on Friday at $161.04 and edged lower by 0.02% in early pre-market trading on Monday. South Korean shares closed 1.27% higher on Monday at 16.74 million won ($1,223.86).

Benzinga Edge rankings indicate SK Hynix’s ADRs have a Value score in the 58th percentile and a Growth score in the 98th percentile.