South Korea urges semiconductor fab clusters beyond Seoul region

Blue House policy chief Kim Yong‑beom said South Korea must build large‑scale semiconductor fabrication (fab) clusters outside the capital to secure the nation’s AI‑driven future. He argued that semiconductors are no longer just an industry but a core variable linking the economy, security, youth employment, regional development and finance.

Kim warned that political debates and procedural delays could cause the country to miss a once‑in‑a‑generation opportunity. He called for rapid construction of advanced fabs, supported by state‑led provision of power, ultra‑pure water, land, logistics and infrastructure – tasks he says only national and local governments can handle. The policy aims to expand production capacity, channel excess liquidity away from Seoul‑area real‑estate into productive assets, and create hundreds of thousands of quality jobs for young people.

He emphasized that the choice of location should be based on objective criteria such as reliable power, water supply, seismic safety, land availability and skilled workforce, not merely regional preference. According to Kim, “Fab capacity is king; the nation that builds the most will win.”