South Korea to create new semiconductor policy office to accelerate chip investments

Next week South Korea will launch a dedicated semiconductor policy office, positioned at the director-general level within the Ministry of Trade, Industry and Resources. The office, provisionally named the Semiconductor Innovation and Growth Support Office, will bring together divisions handling overall semiconductor policy, advanced-chip competitiveness, and the broader supply chain, including materials and equipment providers.

Its mandate includes fast-tracking investments by Samsung Electronics and SK hynix, overseeing infrastructure needs such as power, water and transport, and executing the Special Act on Strengthening and Supporting the Competitiveness of the Semiconductor Industry. The law provides a framework for incentives, research, workforce training and supply-chain security, and the office will manage a high-level policy committee and designate strategic clusters, including a new hub in southwestern Korea. Industry Minister Kim Jung-kwan emphasized the importance of semiconductors for sectors like AI, automobiles and home appliances.