# South Korea Honam semiconductor hub > Live situation record from CLSTR: https://clstr.news/situations/south-korea-honam-semiconductor-hub > Updated: 2026-08-07T01:10:53.000Z. Sources: 2. Developments: 2. In July 2026 South Korea announced a massive Honam semiconductor industrial complex in the southwest, projected to cost at least 800 trillion won and host four chip‑fabrication plants. Analysts warned that the power demand of the fabs could consume 70‑80 % of the region’s current electricity use, and local residents objected to the required new transmission lines, nuclear reactors and increased water withdrawals. By early August the government responded with a concrete plan. Climate, Energy and Environment Minister Kim Sung‑hwan pledged large‑scale investment in the power grid, including HVDC lines, renewable‑energy integration and support for nuclear capacity, to meet the hub’s electricity needs. He also announced a water‑reuse system capable of recycling up to 300,000 tons of wastewater per day for industrial use, aiming to alleviate water‑supply risks for the semiconductor factories and improve river water quality. The announcements directly address the power and water concerns raised after the hub’s initial proposal. ## Timeline ### 2026-08-07: South Korea's Minister Kim Sung-hwan Announces Power‑Grid Investment and Water‑Reuse Plan for Semiconductor Industry South Korea's energy minister announced major grid investments, a crackdown on petro‑chemical price‑fixing, and a plan to recycle 300,000 tons of wastewater daily for semiconductor factories. 2 sources. https://clstr.news/cluster/south-koreas-minister-kim-sung-hwan-announces-powergrid-investment-and-waterreuse-plan-for-semicondu ### 2026-07-21: South Korea's Honam Semiconductor Hub faces power and water challenges South Korea aims to build a $540 bn Honam semiconductor hub in the southwest, but locals oppose the massive power and water needs; officials are exploring new energy solutions to meet demand by 2030. 4 sources. https://clstr.news/cluster/south-koreas-honam-semiconductor-hub-faces-power-and-water-challenges --- Cite as: South Korea Honam semiconductor hub. CLSTR, https://clstr.news/situations/south-korea-honam-semiconductor-hub