As shared by Reuters, Nikkan Kogyo newspaper reported that the Japanese government wants Sony and TSMC to team up to invest trillion yen in the development of a 20-nanometer chip factory. According to the report, it would be the country’s first 20nm factory and would be built near another Sony factory in southwest Japan.

Further details are scarce, but even so, Nikkan Kogyo’s article elicited responses from two of the parties named in it. Although Sony CEO Kenichiro Yoshida did not comment directly on the report, he said that “stable supply of chips is important for Japan to maintain its international competitiveness.” Reuters also notes that “a ministry spokesperson said the report was not true but declined to give details.” TSMC did not comment.

It wouldn’t be too surprising for Japan to want to improve its chipmaking game, as nations around the world are in a rush to outdo each other in the aforementioned industry right now. South Korea, China, the United States and more are pushing to avoid being dependent on their chip-making needs. With Taiwan being somewhat of a global hub of chip business, Western countries are scrambling as China tries to distance itself from US companies, resulting in increased domestic efforts across the globe.

While not confirmed by the parties named therein, this report on Japan’s activities seems logical, given the direction in which Japan’s neighbors are heading.