# Murata completes Vietnam inductor plant for power components *The 3-billion-yen facility in Dong Nai expands passive component manufacturing outside China as electric vehicles and server hardware consume more high-power coils.* **Published:** October 11, 2026 **By:** Kenji Sato **Section:** Semiconductors & AI Hardware — Japan **Format:** Company Watch **Confidence:** medium **Source:** https://eastasiabrief.com/semiconductors/murata-completes-vietnam-inductor-plant-power-components-663 **Publisher:** East Asia Brief (https://eastasiabrief.com/) --- ## What to know - Murata finished a 3-billion-yen ($20 million) power inductor building in Dong Nai on Oct. 11 - Company holds roughly 40% of global passives while peers TDK and Taiyo Yuden expand SE Asia - Production line qualification for auto and server clients starts in early 2027 ![A technician monitors automated equipment assembling electronic components along a factory production line. (AI-generated image)](https://eastasiabrief.com/media/2026-10-11-55da42135291.webp) *A technician monitors automated equipment assembling electronic components along a factory production line. (AI-generated image)* Murata Manufacturing confirmed Oct. 11 that it completed a 3-billion-yen ($20 million) power inductor production building in southern Vietnam, expanding component supply lines for automotive electronics and artificial intelligence servers. The Kyoto-based component supplier, which holds roughly 40% of the global passive components market, erected the structure at its subsidiary in Dong Nai Province. The facility operates within the Bien Hoa 2 Industrial Zone near Ho Chi Minh City. The three-story reinforced concrete building adds 10,576 square meters of total floor area across a 3,500-square-meter footprint. Construction started in May 2025 and concluded on schedule after 17 months of work, the company said. The project expands Murata Manufacturing's second manufacturing base in Vietnam rather than its initial hub in Da Nang. An earlier expansion in Da Nang was completed on Aug. 30, 2023, adding 22,637 square meters of coil manufacturing floor area. Inductors — passive coils that stabilize electric currents and suppress high-frequency electromagnetic noise — face rising demand across automotive and data center power systems. Each electric vehicle uses thousands of inductors to clean voltages between batteries and motors. Artificial intelligence servers also require dense banks of power inductors to regulate power near processor sockets. Accelerated computing clusters draw hundreds of amperes, requiring heat-tolerant metal composite inductors to prevent voltage drops during intense computing cycles. Metal composite inductors replace traditional ferrite cores with fine metallic alloy powders pressed around copper coils. The structure provides superior magnetic saturation characteristics under the high temperatures generated by automotive engines and dense server racks. Murata Manufacturing Vietnam will begin installing manufacturing equipment inside the Bien Hoa facility over the coming months. Murata said it plans to ramp production lines sequentially once equipment calibrations and sample qualification tests conclude. The notice does not state the capital expenditure allocated for production machinery, and Murata has not published the facility's incremental output volume or workforce count. The 3-billion-yen figure covers the building structure alone. The expansion advances a broader geographic diversification among Japanese electronic component manufacturers seeking to trim exposure to mainland China. Geopolitical tensions and logistics disruptions have led global equipment vendors to demand dual-sourcing options outside Chinese borders. Japanese component makers have established Southeast Asia as a secondary manufacturing corridor for passives, micro-relays and timing devices. Vietnam has emerged as a favored destination due to lower labor costs and proximity to regional electronics factories. Peer component maker TDK Corporation generates roughly 25% of its electronic components revenue from magnetic products, including high-performance inductors. TDK has similarly expanded power coil manufacturing across Southeast Asia to protect deliveries to automotive supply chains. Taiyo Yuden draws about 15% of its total revenue from inductor sales and has expanded production lines in Malaysia. That overseas footprint targets miniature metal power inductors designed for high-density computing boards and server power modules. Samsung Electro-Mechanics also competes directly in the power inductor segment from its factory complex in Thai Nguyen in northern Vietnam. The Korean firm has expanded automotive inductor lines to challenge Japanese dominance in high-reliability components. Murata established its Vietnamese manufacturing subsidiary in 2003 and has developed the country into a core export hub for inductive devices. The unit handles labor-intensive winding, precision molding and high-throughput electrical testing for worldwide distribution. Automotive power architectures are shifting toward 48-volt systems, which step down battery voltage to run advanced driver-assistance systems. That transition requires power inductors with higher saturation currents to manage power surges without degrading inductance performance. Data center power distribution is undergoing a similar architectural shift toward 48-volt direct-to-chip conversion modules to reduce resistance losses. These modular converters require low-profile metal composite inductors that fit tight tolerances beside high-power processor packages. Local assembly gives Murata shorter freight links to electronics manufacturing services providers across Southeast Asia, Taiwan and Japan. The shipping routes avoid mainland customs checkpoints and lower transit risks for international hardware vendors. Dong Nai Province provides established logistics connections, including highway access to deepwater container terminals at Cai Mep-Thi Vai. Reliable power delivery and industrial zone infrastructure have supported Japanese hardware manufacturers scaling precision manufacturing operations locally. Murata allocated 210 billion yen ($1.4 billion) to overall capital expenditures for the current fiscal year to reinforce component facilities. The investments target multilayer ceramic capacitors and power inductors across manufacturing hubs in Japan, Singapore, Thailand and Vietnam. Global server and automotive procurement leads are increasingly auditing tier-two component footprints to ensure assembly plants hold multi-country redundancies. Murata's added capacity provides server makers with an alternative sourcing channel outside Greater China before fiscal 2027 production cycles begin. Murata plans to begin sequential production line qualification for automotive and computing customers at the Bien Hoa site by early 2027. Commercial volume shipments will follow once tier-one customers complete factory validation audits, the company said. ## Impact map | Event | Korea | China | Japan | Global impact | | --- | --- | --- | --- | --- | | Murata Vietnam inductor plant completion | Samsung Electro-Mechanics faces stiffer competition from Vietnam for automotive inductor contracts | Local handset and EV assemblers gain alternative passive component supply outside mainland borders | Murata and TDK accelerate China-plus-one diversification by anchoring coil lines in ASEAN | Server and vehicle builders secure secondary inductor sourcing as AI compute power draws climb | ## In this story - **Companies:** Murata Manufacturing - **Tickers:** 6981.T - **Exposed:** TDK Corporation, Taiyo Yuden, Samsung Electro-Mechanics - **Policy:** Economic Security - **Impact:** Supply Chain, Capex, Order Book ## Primary sources 1. thelec.kr 2. thelec.net 3. viet-jo.com 4. murata.com 5. evertiq.com --- Cite as: East Asia Brief, "Murata completes Vietnam inductor plant for power components," October 11, 2026. https://eastasiabrief.com/semiconductors/murata-completes-vietnam-inductor-plant-power-components-663