S. Korean president pledges to double chip production in 5 years

South Korean President Lee Jae Myung on Wednesday unveiled an ambitious plan to double his country’s semiconductor production capacity and secure artificial intelligence supply chains free from external shocks, calling for fresh US investments in the country, Yonhap News Agency reported.

Lee made the remarks at the Korea Investment Summit in New York, attended by financial and corporate leaders from both South Korea and the US, to promote US investment in South Korea.

The president referred to the country’s “three megaprojects” launched earlier this year to build a chip projection cluster and other AI facilities, adding that the country “will double semiconductor production capabilities within the next five years by expanding a chip production hub.”

“Additionally, (we) will build critical AI supply chains that are not shaken by any shocks,” he said.

The president highlighted that Seoul is reinvesting “results” from the AI chip boom to create a new “Future Fund” designed to nurture related industrial infrastructure and talent to ensure stable support for future industries.

He also pledged to create market conditions favourable to global capital investment and carry out market reforms to attract foreign investment, pointing to the government’s legal revisions to enhance shareholder value and expand the foreign exchange market to operate around the clock.

“We will double down on efforts to create market conditions in which global capital can invest freely and at any time,” Lee said.

“Going forward, I will work to ensure more improvements take place,” he added. “I guarantee that I will spearhead changes that can be felt by global investors by continuously reforming the capital and foreign currency markets.”