Korea vows support to accelerate Yongin chip cluster construction

The Yongin Semiconductor Cluster site, near Seoul [Photo by Park Hyung-ki]

The South Korean government has set out to shorten the construction period of the advanced semiconductor national industrial complex in Yongin, near Seoul, which will begin in late 2026, to five years from seven years to try to be ahead of the international competition for new facility expansion in the sector.

The Yongin Semiconductor Cluster, to be built by Samsung Electronics Co. on 7.11 million square meters of land in Yongin will have five or more semiconductor production facilities sequentially by 2042. The total investment budget is 300 trillion won ($230.9 billion).

The government has pledged pan-governmental support to ensure uninterrupted power and water supplies, which are considered core infrastructure for the semiconductor industry. The Ministry of Land, Infrastructure and Transport unveiled on Tuesday the Yongin Advanced System Semiconductor National Industrial Complex Support Strategy at the third meeting of the pan-government support group held at Samsung Electronics’ Giheung Campus in Yongin.

The government will first consult on location regulations such as green belts and agricultural land in advance and conduct a fast-track preliminary feasibility study to reduce the overall project period by about two years. Centering on Samsung Electronics’ system semiconductor plant, the ecosystem will be built to cover all stages of the semiconductor industry by attracting domestic and foreign venture companies, material, component and equipment companies, and research institutions.

The land ministry will closely cooperate with the Ministry of Trade, Industry and Energy and the Ministry of the Environment to ensure uninterrupted power and water supply.

The government’s decision to support the Yongin Semiconductor Cluster comes on the judgment that K-semiconductors need speed to remain competitive in a situation where major countries are investing huge amounts of money to foster the semiconductor industry.

“We will collaborate with local governments and Samsung Electronics to reflect the needs of companies in the planning of the industrial complex,” said Land Minister Won Hee-ryong.