Toshiba to cut flash memory production: Nikkei

(Reuters) - Toshiba Corp plans to reduce production of NAND flash memory by 30 percent, its first cutback since 2009, Japanese business daily Nikkei reported.

Toshiba will start cutting output at its Yokkaichi plant in Mie Prefecture as early as this month, the paper said.

Demand for flash memory used in USB drives and SD cards has shrunk as the global economy slows, leading to increasing inventories and falling prices.

Chipmakers like SanDisk Corp, Micron Technology Inc, Elpida Memory Inc, SK Hynix and Samsung Electronics Co Ltd all ramped up their NAND production capacity in a buoyant market for smart phones and tablets, but a glut in supply drove prices to new lows.

(Reporting by Shubham Singhal in Bangalore; Editing by Sriraj Kalluvila)