Recently the Yomiuri News on-live reported the following:
The 4th meeting of the "Yomiuri Business Forum 2011" was held in a hotel in Sapporo on the 1st, and Toshiba's chairman Atsutoshi Nishida, as the vice president of the Federation of Economic Organization, gave a speech.
Mr. Nishida made reference to Toshiba's having made the decision of closing three factories such as the Kitakyushu factory (Kitakyushu City) which manufactured semi-conductors and that a part of the production had to be entrusted to overseas firms, after re-examination the production system because of the strong yen. It was emphasized that in the manufacturing of semi-conductors "there are 'initial manufacturing stage' that required advanced technology, and package-ized 'finishing manufacturing stage'. The initial process would be done as much as possible in Japan to avoid the leading-edge technology to continue to flow into the overseas."
Mr. Nishida also introduced that the South Korean government, by its national policy, had made chip makers' electricity bill relatively cheap. And it was said that "the manufacturing of semiconductors needs to consume electric power excessively. If the electricity bill goes up because of an increase in renewable energy and the stoppage of a nuclear power plant, the closure (of factories) at home would become a delicate issue ".
Obviously, the strong yen has a negative impact on the production of high-tech products in Japan.