Samsung and SK Hynix have planned a colossal investment of 622 trillion South Korean won (about 438 billion euros) to expand chip manufacturing capacity in southern Gyeonggi province. The goal is to build 16 new manufacturing plants by 2047, Yonhap news agency reported. According to what was reported by the newspaper, the mega complex, which will extend over an area of 21 million square meters, will include an exclusive area dedicated to companies without factories (fabless), as well as additional plants for the production of foundries and memory chips, citing a statement from the Ministries for Science and Industry. Currently, there are already 21 manufacturing plants in the area.
The South Korean government also announced plans to build a zone dedicated to the production of materials, components and equipment, as well as research and development facilities. The Ministry of Trade, Industry and Energy estimates the project will create 3.5 million jobs. Samsung plans to allocate a total of 500 trillion won to the project, with 360 trillion won going to six manufacturing sites in Yongin, 120 trillion won to three plants in Pyeongtaek, and 20 trillion won to three research units in Giheung, as written by Yonhap News Agency. SK Hynix will invest 122 trillion won in four manufacturing sites in Yongin. Data from the National Statistics Bureau showed chip shipments by South Korean companies rose 80% year-on-year in November, signaling a recovery in the industry. However, Samsung last week estimated that operating profit in the fourth quarter of 2023 fell 35% to 2.8 trillion won.
#South #Korea #record #investment #billion #chip #production
