Electronics giant Toshiba and leading chipmaker Rohm say they will jointly produce so-called "power semiconductors" used in electric vehicles.

The two firms plan to share production at a plant Toshiba is building in Ishikawa Prefecture, central Japan. Rohm plans to start operation of another plant next year in the southwestern prefecture of Miyazaki. The collaboration aims to tap the expertise of both companies in making such chips.

Specifically, the two firms will focus on investment in developing and expanding supply of so-called SiC power semiconductors, or chips made from silicon carbide. The chips are regarded as highly durable and offer improved energy savings.

Demand for power semiconductors that are used in various products, including EVs and industrial equipment, is expected to grow further.

Japan's industry ministry has said it will provide subsidies of up to 129.4 billion yen, or 900 million dollars, for the joint Toshiba Rohm project. That will cover about a third of the total cost of the venture.

Industry minister Nishimura Yasutoshi says the tie-up will help combine the managerial resources of Japan's power semiconductor industry.