Samsung Electronics and SK hynix are gearing up to reveal significant investment plans early this week under the guidance of President Lee Jae Myung. The announcement is scheduled for 2 p.m. Monday at Cheong Wa Dae, focusing on the government’s three large-scale projects for balanced regional growth, as stated by presidential spokesperson Kang Yoo-jung.
The initiative, a collaborative effort of various ministries, including trade, science, transport, and energy, is anticipated to witness the presence of Samsung Electronics Chairman Lee Jae-yong and SK Group Chairman Chey Tae-won. Both industry giants are expected to engage in discussions alongside other stakeholders during the event.
Industry experts foresee investments exceeding 1,000 trillion won (US$650 billion) over the next decade by the two semiconductor manufacturers. This financial commitment may encompass the potential establishment of a chip cluster in the Honam region in southwestern South Korea.
President Lee hailed the impending investment as a groundbreaking milestone and a strategic move that could alter the course of the country’s future. Meanwhile, the opposition People Power Party has criticized the initiative, labeling it as politically driven, especially amidst internal power struggles within the ruling Democratic Party.
Finance Minister Koo Yun-cheol affirmed the government’s unwavering support for the proposed investments in regional areas, emphasizing the necessity to diversify economic activities beyond the Seoul metropolitan region. He highlighted the government’s commitment to facilitating the companies’ investments by providing essential infrastructure support like electricity and water supplies.
Koo stressed the importance of enhancing competitiveness in emerging industries like physical AI and AI data centers to secure a leading position in the global market.
