South Korea has set a policy of making 50% of its semiconductor materials, components and equipment domestically sourced by 2030, up from 30% this year.
President Yoon Suk-yeol’s administration has launched the strategy to strengthen the local chipmaking industry.
Samsung and SK Hynix are already among the world’s top semiconductor brands, but Yoon seeks to bolster supply chain stability and resources to make South Korea a “superpower” in the field to rival Taiwan.
South Korea’s chip industry estimates that about 20% of chip equipment and 50% of chip materials have been localised, the industry ministry said.
The policy was announced as trade figures showed Korea’s exports of semiconductors rose 13.2% in the first 20 days of July from the same period last year.
Overall exports grew 14.5%, while petroleum products soared 109.7% and cars gained 15.0%.
The country’s imports grew at a much faster pace of 25.4%, bringing the trade balance to an $8.1 billion deficit.
- Reuters, with additional editing by George Russell