japan's material suppliers ride ai data center boom

2025-06-17 general

Tokyo, Tuesday, 17 June 2025.
japanese material and component manufacturers are seeing a surge in demand, fueled by the ai-driven data center expansion. dexerials has already doubled its production. fujikura and asahi kasei are considering building new factories. minebeamitsumi identifies data centers as a key growth area, especially for server cooling fan motors. to boost international competitiveness, the japanese government will support data center exports combined with renewable energy, starting with a project in poland.

surging data center demand

The escalating demand for data centers, propelled by advancements in artificial intelligence, is significantly impacting Japanese material and component suppliers [2]. Companies like Dexerials and Fujikura are witnessing a surge in orders [2]. This increase is attributed to the necessity for enhanced computing power to support AI applications [2]. To capitalize on this escalating demand, these firms are actively investing in expanding their production capabilities to meet the rising need for essential components such as fan motors [2].

minebea mitsumi’s strategic advantage

MinebeaMitsumi is strategically positioned to benefit from the growing data center market [1][2]. The company is expanding its sales of fan motors, crucial for cooling servers in data centers [2]. CEO Yoshihisa Kainuma emphasized that demand related to data centers will serve as a key growth driver for the company [2]. This focus aligns with the increasing need for efficient cooling solutions as data centers grapple with the rising heat generated by high-performance computing [4].

government support for sustainable data centers

The Japanese government is actively supporting the export of data centers in conjunction with renewable energy sources [3]. The initial project involves a collaboration between major construction firms and telecommunications companies in Poland, aimed at penetrating the European market [3]. This initiative is designed to enhance the international competitiveness of Japanese companies amidst the global surge in demand for data processing infrastructure [3]. This approach addresses the dual challenge of increasing data center capacity and promoting decarbonization [3].

kddi expands data center capacity

KDDI is expanding its data center infrastructure to meet the growing demands of the AI era [4][6]. The company has started construction of a new data center in Tama, Tokyo, slated to open in the autumn of 2027 [6]. The ‘Telehouse TOKYO Tama 5-2nd’ facility will boast a maximum IT power capacity of 18 megawatts and incorporate water cooling systems to support high-power GPU servers [6]. KDDI’s initiative aligns with Tokyo’s efforts to promote energy efficiency in data centers [4].

global trend towards energy-efficient data centers

The trend towards energy-efficient data centers is not limited to Japan. Amazon and Talen Energy in the U.S. are collaborating on a project involving small modular reactors (SMRs) to power data centers [5]. Amazon will purchase up to 1.92 gigawatts of carbon-free electricity from Talen’s Susquehanna nuclear power plant until 2042 [5]. These long-term power purchase agreements, lasting between 10 to 20 years, highlight the increasing focus on securing reliable and sustainable energy sources for data centers [5].

The expanding data center market presents significant investment opportunities [7]. Investors can identify promising stocks by examining companies involved in data center construction, component manufacturing, and related services [7]. Key metrics to consider include price-to-earnings ratio (PER), price-to-book ratio (PBR), and dividend yield to assess the financial health and growth potential of these companies [7]. The Japanese government’s push for domestic data center development further supports investment in this sector [7].

Bronnen

data centers component demand