In a move to respond quickly to market expansion and further strengthen its competitiveness in the semiconductor business, Toshiba said that it will construct a new fabrication facility (fab) on a site next to Yokkaichi Operations, its memory production facility in Mie Prefecture.

The company said that the new fabrication facility, Fab 5, will start in July this year, and plans for the completion of its construction in spring 2011. Yokkaichi Operations currently has four NAND flash memory fabs.

According to Toshiba, the scale of Fab 5 will be comparable with that of Fab 4, which is now in operation. The new fab will have a quake-absorbing structure, and be designed for minimal environmental impact. Energy-saving clean rooms and effective use of waste heat are expected to cut CO2 emissions to a level 12% lower than from Fab 4.

Toshiba said that the expansion comes as the demand begins to recover with the market penetration of smartphones and other new applications. The company also plans to continue to develop new technologies, including advanced process technology and memories, in order to enhance its competitiveness in the memory business.