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AFP
South Korea is gearing up to invest over $7 billion in the chip industry, aiming to solidify its position as a leader in semiconductor technology. The government is set to unveil a comprehensive support package that will benefit chip materials, equipment manufacturers, and fabless companies throughout the semiconductor supply chain, as per Reuters.
Finance Minister Choi Sang-mok revealed plans for the package during a meeting with local chip equipment manufacturers. The initiative is expected to include policy loans and the creation of a new fund, jointly financed by government and private financial institutions, according to a statement from the finance ministry.
This move aligns with the US government’s efforts to rally its allies, like South Korea, in imposing stricter controls on China’s access to semiconductor technology. American officials have specifically urged South Korea to restrict the transfer of equipment and technologies crucial for producing high-end logic and memory chips to China, as reported by Bloomberg News.
South Korea is currently developing a massive chip cluster in Yongin, near Seoul, which is being promoted as the world’s largest high-tech complex of its kind. President Yoon Suk Yeol has committed to utilizing all available resources to emerge victorious in the “chip war,” offering tax incentives to attract investments towards this goal.
Amidst the escalating competition between the US and China impacting global supply chains, South Korea, a major player in memory chip production, is striving for supremacy by investing $470 billion in a semiconductor “mega cluster” outside Seoul. To further bolster this endeavor, the government is proposing measures such as tax breaks to encourage investments in the sector.
South Korea
Chip
2024-05-14 15:51:02
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