Japan's Toshiba and US SanDisk jointly announced on December 16 that they will reduce production of NAND flash memories by around 30% at their fab venture Flash Alliance, effective from January 2009, according to reports by Nikkei, EE Times and Reuters. The Toshiba-SanDisk venture is located at Toshiba's Yokkaichi Operations in Mie Prefecture, Japan, and is dedicated to the fabrication of 300mm wafers.

It is reported that the capacity adjustment will also affect the other fabs at Yokkaichi Operations and temporary production suspension will be implemented even prior to the January adjustment. Fab 1 and Fab 2, the two 200mm wafer lines, will halt operations for four days starting on December 31 until January 3. Fab 3 and Fab 4, the two 300mm lines, will suspend production for 13 days until January 12.

At the same time, Toshiba also revealed that due to sluggish demand for consumer electronics, the company will adjust the operating dates at its other semiconductor facilities throughout Japan during year-end and New Year. Several plants located in Oita, Fukuoka, and Hyogo Prefecture will halt operations during said period.