South Korea plans to build a semiconductor complex with four memory chip manufacturing plants through investments of 800 trillion won ($517.9 billion).
During a government meeting held today and chaired by the South Korean president, Industry Minister Kim Jong-kwon unveiled an investment plan to transform the country's southwestern region into the nation's second-largest semiconductor manufacturing hub, alongside the existing center in the greater Seoul area.
The minister explained that South Korea intends to establish a new semiconductor production base through corporate investments worth 800 trillion won ($517.9 billion), which will lead to the establishment of four memory chip manufacturing plants.
The minister said: "Relying on a single production base in the greater Seoul area is no longer sufficient to meet the growing demand for semiconductors," noting that constraints on energy and water resources limit further expansion under current plans.
The minister stated that the Chungcheong region will be transformed into an advanced semiconductor packaging center through an investment of 81 trillion won, to meet the growing demand for packaging as chip production expands, while the southeastern region of the country will be nurtured as innovation centers for semiconductor materials, components, and equipment.
He added that the government will help companies accelerate investment in semiconductors by bringing forward the construction date of new manufacturing plants by 12 years, from the mid- or late 1940s to the mid-1930s.
To support expansion, the government pledged to streamline permitting and construction procedures while investing in vital infrastructure, including electricity and industrial water supplies.
