President to continue regional investment tour with stops in central, southeastern regions
President Lee Jae Myung traveled to Gwangju to pitch South Korea’s southwest as the starting point for the country's "artificial intelligence industrial revolution," backed by massive investments in chips, AI data centers and related industries.
Lee attended an event unveiling a development vision for advanced industries in the southwestern region on Tuesday. The gathering followed Monday's announcement of massive regional investment plans by the government, Samsung Electronics and SK hynix, centered on three megaprojects: semiconductors, AI data centers and physical AI.
"We will launch a Korean-style artificial intelligence industrial revolution — driven by the regions and expanding across the world — right here in the southwest," Lee said in his congratulatory remarks at the event.
"This investment will bring advanced memory chip manufacturing facilities, advanced packaging production facilities and AI data centers to the southwestern region."
Lee underscored that the southwest was already well positioned to become a hub for future industries, citing its abundant renewable energy resources, strategic location and growing AI ecosystem.
"In hindsight, the southwest was already well positioned for this moment."
Lee pledged that a special committee on semiconductor competitiveness would be launched in August with the implementation of the Special Semiconductor Act.
"As president, I will personally chair the committee and make it a powerful control tower for investment in the southwest," he said. "To ensure that these projects do not remain mere plans and suffer even a one-month delay, I will set up a dedicated team at Cheong Wa Dae and personally see the process through to completion."
Lee pledged firm government support to "help companies turn bold challenges and innovation into tangible results."
Lee framed the investment as long-overdue compensation for Honam, which includes North and South Jeolla provinces and Gwangju.
"I regard this as a historic and national recompense for Honam, which endured the pain and indignity of discrimination while helping build and protect South Korea’s democracy without any reward or compensation," Lee said. "I will ensure that it succeeds without any setbacks."
The Honam region in southwestern South Korea is set to receive the largest share of the planned investment, with the goal of creating a second semiconductor cluster to complement the existing chip hub in Gyeonggi Province. The initiative will be centered on Gwangju and South Jeolla Province, which are to officially merge into a single special city on Wednesday.
In Gwangju, Jun Young-hyun, vice chairman and CEO of Samsung Electronics, and Kwak Noh-jung, president and CEO of SK hynix, unveiled plans to build a cutting-edge semiconductor fabrication plant and AI data centers in the southwestern region. Lee Jin-an, president of Amkor Technology Korea, detailed the company's plan to expand its advanced semiconductor packaging operations.
After the presentations, the government and participating companies signed a memorandum of understanding to promote advanced industries in the southwestern region.
Tuesday's visit marked the first stop on Lee's tour of key regional growth hubs this week.
Lee is scheduled to travel to Asan, South Chungcheong Province, on Thursday to present a vision for the development of advanced industries in the Chungcheong region, with Samsung Electronics, SK hynix and Celltrion set to participate.
On Friday, Lee will head to Jinju, South Gyeongsang Province, for a similar event focused on the Yeongnam region, where Samsung Electronics, SK Telecom, Hyundai Motor and Hanwha Group are expected to present their investment plans.
Yeongnam encompasses North and South Gyeongsang provinces as well as the metropolitan cities of Busan, Daegu and Ulsan.
Speaking at a weekly Cabinet meeting earlier Friday, Lee dismissed criticism from the opposition bloc that the investment plan disproportionately favors the Honam region, the traditional stronghold of the ruling Democratic Party.
Lee said that "it is an undeniable fact that there has been discrimination between the Yeongnam and Honam regions," adding that the investment would offer an opportunity to "help ease the imbalance, at least to some extent."
Lee further acknowledged the massive scale of investment envisioned under the three megaprojects. "However, if you compare it with the cumulative amount of investment made throughout history, it is truly just a drop in the bucket," he said.
According to Cheong Wa Dae, the Korean government set a goal of attracting 896 trillion won ($579 billion), including 800 trillion won for four advanced semiconductor fabrication plants by Samsung Electronics and SK hynix, 1 trillion won for semiconductor packaging facilities, 87 trillion won for AI data centers, and 8 trillion won for smart appliances, energy and other related industries.
dagyumji@heraldcorp.com