{"id":15498,"date":"2026-06-29T12:14:36","date_gmt":"2026-06-29T09:14:36","guid":{"rendered":""},"modified":"2026-06-29T12:14:36","modified_gmt":"2026-06-29T09:14:36","slug":"south-korea-unveils-518-billion-plan-for-new-southwestern-semiconductor-cluster","status":"publish","type":"post","link":"https:\/\/harici.com.tr\/en\/south-korea-unveils-518-billion-plan-for-new-southwestern-semiconductor-cluster\/","title":{"rendered":"South Korea unveils $518 billion plan for new southwestern semiconductor cluster"},"content":{"rendered":"<p>South Korea plans to develop a new semiconductor manufacturing hub in the southwestern region of the country through an 800 trillion won ($517.9 billion) corporate investment, which will establish four memory chip production facilities, Industry Minister Kim Jung-kwan announced on Monday.<\/p>\n<p>Kim <span style=\"color: #0000ff;\"><a style=\"color: #0000ff;\" href=\"https:\/\/en.yna.co.kr\/view\/AEN20260629006252320?section=national\/politics\">disclosed<\/a><\/span> the investment plan, which aims to transform the Gwangju and Jeolla regions into the country\u2019s second-largest semiconductor cluster alongside the existing hub in the Seoul metropolitan area, during a national investment briefing chaired by President Lee Jae Myung at Cheong Wa Dae.<\/p>\n<p>&#8220;To meet the rising demand for semiconductors, relying solely on a single production base in the Seoul metropolitan area is no longer sufficient,&#8221; Kim said, noting that constraints on power and water resources under current plans limit further expansion.<\/p>\n<p>The semiconductor investment is part of the government&#8217;s &#8220;three mega projects&#8221; initiative. This initiative envisions large-scale investments by chip giants such as Samsung Electronics Co. and SK hynix Inc., alongside other companies, in the fields of semiconductors, physical artificial intelligence, and AI data centers.<\/p>\n<p>To meet the increasing packaging demand as chip production expands, the Chungcheong region will be transformed into an advanced semiconductor packaging hub with an 81 trillion won investment, Kim said. He added that the Daegu and North Gyeongsang regions will be developed as innovation hubs for semiconductor materials, components, and equipment.<\/p>\n<p>Kim also stated that the government will assist companies in accelerating their semiconductor investments by bringing forward the construction schedule of the new manufacturing facilities by up to 12 years. Consequently, the construction of the plants will be moved to the mid-2030s instead of the mid-to-late 2040s.<\/p>\n<p>To support this expansion, the government has committed to streamlining permitting and construction processes, as well as investing in critical infrastructure, including the supply of electricity and industrial water.<\/p>\n<p>At the meeting, which was also attended by Samsung Electronics Chairman Lee Jae-yong and SK Group Chairman Chey Tae-won, Kim presented a plan for a 30 trillion won investment by the government and industry over the next 15 years to support the entire semiconductor value chain, from research and development and chip design to testing and manufacturing.<\/p>\n<p>The ambitious industrial roadmap aims to transform the country from a global manufacturing powerhouse into a leading player in the era of artificial intelligence. At the core of the strategy are semiconductors, AI infrastructure, and physical AI.<\/p>\n<p>Regarding the robotics sector, Kim said the government will develop the AI-powered robotics industry to strengthen South Korea\u2019s manufacturing competitiveness amid intensifying global competition.<\/p>\n<p>Kim warned that China has already begun mass-producing humanoid robots through regional manufacturing hubs, emphasizing that South Korea must accelerate the commercialization and mass production of its own humanoid robots.<\/p>\n<p>&#8220;We must accelerate the foundation for mass production,&#8221; Kim said, adding that the government plans to generate early domestic demand by supplying humanoid robots in the fields of education, defense, and disaster response.<\/p>\n<p>The initiative aims to increase South Korea&#8217;s share of the global humanoid robot market to 20% in the long term, up from just 1% last year.<\/p>\n<p>As the third pillar of the strategy, the government announced an ambitious plan to expand the country&#8217;s AI data center infrastructure.<\/p>\n<p>In collaboration with SK Group, GS Group, and portal operator Naver, the government plans to invest approximately 550 trillion won by 2029 to construct AI data centers with a total capacity of 8.4 gigawatts (GW). The total investment is expected to exceed 1,000 trillion won by 2035, expanding capacity to 18.4 GW.<\/p>\n<p>To support this initiative, the government has pledged to secure sufficient power and industrial water supplies and to strengthen the energy infrastructure around existing semiconductor clusters.<\/p>\n<p><!-- notionvc: 5854cd99-591f-403c-8870-826a8f22a363 --><\/p>\n","protected":false},"excerpt":{"rendered":"<p>South Korea plans to develop a new semiconductor manufacturing hub in the southwestern region of the country through an 800 trillion won ($517.9 billion) corporate investment, which will establish four memory chip production facilities, Industry Minister Kim Jung-kwan announced on Monday. Kim disclosed the investment plan, which aims to transform the Gwangju and Jeolla regions [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":15499,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"ep_exclude_from_search":false,"footnotes":""},"categories":[4],"tags":[5257,19853,529,19848,19850,6457,19856,19845,19854,2596,19846,19843,7689,19852,19844,19857,19851,19849,19847,6156,4007,6344,3110,19855,4008,1194],"class_list":["post-15498","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-asia","tag-ai-data-centers","tag-chey-tae-won","tag-china","tag-chungcheong","tag-daegu","tag-energy-infrastructure","tag-gs-group","tag-gwangju","tag-humanoid-robots","tag-infrastructure","tag-jeolla","tag-kim-jung-kwan","tag-lee-jae-myung","tag-lee-jae-yong","tag-memory-chips","tag-naver","tag-north-gyeongsang","tag-packaging-hub","tag-physical-artificial-intelligence","tag-robotics","tag-samsung-electronics","tag-semiconductor","tag-seoul","tag-sk-group","tag-sk-hynix","tag-south-korea"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v26.7 - 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