On August 1st, Kioxia Corporation, renowned for its storage solutions, declared the completion of its Fab 2 factory building in Kitakami City, Iwate Prefecture, Japan. The construction of the K2 facility, which started in March 2022, initially aimed for completion within 2023. However, the prolonged slump in the NAND flash memory market led to a slowdown in the construction schedule.

The K2 factory marks the second NAND flash memory manufacturing facility in Kitakami City for Kioxia. The company has indicated that it will make strategic capital investments while closely monitoring market trends, with plans to initiate operations at K2 in the fall of 2025.

In preparation for the factory's operation, Kioxia has already constructed an adjacent administrative building. This facility is ready for occupancy, with some administrative and engineering departments expected to move in by November 2024 to oversee the Fab 2 production facility's operations. The investment in part of Fab 2 received financial support from the Japanese government, as approved in a plan in February 2024.

Kioxia's strategic move to expand its manufacturing capabilities in Kitakami City is a testament to its commitment to meeting the evolving demands of the NAND flash memory market. With the new factory set to become operational in 2025, the company is well-positioned to leverage the anticipated market recovery and continue providing advanced storage solutions to its global customer base.