Kim Yong-beom, the presidential policy chief, on the 24th addressed the controversy over the Yongin semiconductor cluster's "Honam transfer," saying, "It is by no means moving a plant being built in the capital area." The issue began late last year when the government said that due to power and water supply, it was "considering whether we should move now to a region with ample electricity." Since then, as the Honam political circle strongly pushed the "Honam transfer theory," it has clashed with Yongin, and Cheong Wa Dae has now made its position clear.
Deputy Minister Kim attended a Kwanhun Club invitational forum that day and said, "There is absolutely no case in which the Yongin semiconductor cluster plant being created in the capital area is transferred to Honam or the plan is changed." He said, "The expression 'transfer' is not correct. It's not moving facilities in the capital area, but 'building anew' an entirely new belt," adding, "The Yongin plant now being built in the capital area will all be built as planned."
He said that considering it takes seven to eight years just to build a single semiconductor plant, new facilities must be pursued starting now. Cheong Wa Dae explained that it expects the Yongin cluster, now in operation and under construction, to reach saturation in 2035, and that related discussions should begin to prepare for saturation in the capital area.
Deputy Minister Kim said, "If we wait until Yongin is full and then say, 'Let's start elsewhere,' it will already be too late," adding, "Over the next seven to eight years, there will be a massive break in Korea's semiconductor supply chain." He also said, "Asking why we are already starting discussions on other regions when construction is going well in the capital area shows no understanding of the semiconductor industry's timeline," and "We can't send core facilities overseas just because the capital area is saturated, can we?"
◇"Honam-bound under government pressure? Would corporations decide that way?"
During the discussion, there was also criticism that the Lee Jae-myung administration's Mirae Industries investment is concentrated in the Honam and Chungcheong regions, leaving Yeongnam relatively neglected. Earlier, as Samsung Electronics and SK hynix were reported to be set to unveil semiconductor investment plans centered on the Honam region worth hundreds of trillions of won, the opposition criticized it as mobilizing corporations for "Honam votes."
In response, Deputy Minister Kim outlined the government's strategies linking ▲ semiconductors ▲ AI data centers ▲ physical AI, saying, "We are drawing up tightly tailored investment plans by region," and added, "The hardware and manufacturing industrial base that underpins physical AI is all concentrated in the southeastern region. The center of this industry will naturally become the southeastern region going forward."
He also said, "Even if the government pushes by invoking the justification of balanced growth and says 'invest here,' corporations are not going to decide on massive investments worth hundreds of trillions of won that way."