AGL 24.40 Increased By ▲ 1.46 (6.36%)
AIRLINK 109.29 Decreased By ▼ -2.00 (-1.8%)
BOP 5.29 Increased By ▲ 0.04 (0.76%)
CNERGY 3.67 Decreased By ▼ -0.05 (-1.34%)
DCL 8.00 Increased By ▲ 0.01 (0.13%)
DFML 44.30 Increased By ▲ 4.03 (10.01%)
DGKC 88.80 Increased By ▲ 0.80 (0.91%)
FCCL 21.99 No Change ▼ 0.00 (0%)
FFBL 42.28 Increased By ▲ 0.08 (0.19%)
FFL 8.90 Increased By ▲ 0.35 (4.09%)
HUBC 151.70 Decreased By ▼ -1.59 (-1.04%)
HUMNL 10.35 Decreased By ▼ -0.10 (-0.96%)
KEL 4.45 Decreased By ▼ -0.05 (-1.11%)
KOSM 3.95 Increased By ▲ 0.10 (2.6%)
MLCF 36.60 Decreased By ▼ -0.20 (-0.54%)
NBP 49.16 Increased By ▲ 1.17 (2.44%)
OGDC 131.70 Decreased By ▼ -0.10 (-0.08%)
PAEL 26.31 Increased By ▲ 0.16 (0.61%)
PIBTL 6.07 Increased By ▲ 0.04 (0.66%)
PPL 115.45 Decreased By ▼ -0.05 (-0.04%)
PRL 22.67 Increased By ▲ 0.07 (0.31%)
PTC 12.50 Decreased By ▼ -0.08 (-0.64%)
SEARL 56.19 Increased By ▲ 0.50 (0.9%)
TELE 7.40 Increased By ▲ 0.20 (2.78%)
TOMCL 37.69 Increased By ▲ 0.69 (1.86%)
TPLP 8.34 Increased By ▲ 0.49 (6.24%)
TREET 15.33 Increased By ▲ 0.03 (0.2%)
TRG 59.96 Increased By ▲ 5.41 (9.92%)
UNITY 32.34 Increased By ▲ 0.48 (1.51%)
WTL 1.18 Increased By ▲ 0.01 (0.85%)
BR100 8,406 Increased By 61.8 (0.74%)
BR30 26,453 Increased By 106 (0.4%)
KSE100 79,397 Increased By 409.9 (0.52%)
KSE30 25,518 Increased By 153.1 (0.6%)

SEOUL: South Korea announced on Thursday a 26 trillion won ($19 billion) support package for the country’s vital semiconductor industry, the country’s presidential office said.

Under the package, President Yoon Suk Yeol said the government planned a financial support programme for chips worth about 17 trillion won through state-run Korea Development Bank to back large-scale investments by semiconductor companies.

Yoon said a 1 trillion won fund would be set up to support equipment makers and fabless companies, which design chips but outsource their manufacturing. Yoon also asked the industry ministry to come up with innovative measures to strengthen South Korea’s competitiveness in the non-memory chip sector, the presidential office said.

The updated support package is bigger than plans flagged by the country’s Finance Minister Choi Sang-mok earlier this month, when he said the government was targeting support for chip investments and research worth more than 10 trillion won.

South Korea to set up $7bn aid package for chip industry

South Korea’s chip industry accounted for 18% of the country’s total exports in April, though it has been lagging in some areas.

South Korea’s market share of the fabless sector, which includes companies like US giant Nvidia, stood at about 1% and there was a gap between South Korean chipmakers and the leading contract chipmakers like Taiwan’s TSMC, Yoon’s office said.

The country, which is home to the world’s top memory chip makers Samsung Electronics and SK Hynix, is building a mega chip cluster in Yongin, south of the capital Seoul, touted as the world’s largest high-tech chipmaking complex to attract chip equipment and fabless companies.

In January, Yoon, who has vowed to pour all possible resources into winning the “war” over chips, said he would extend tax credits on investments in the domestic semiconductor industry to boost employment and attract more talent.

Comments

200 characters