Ruling and Opposition Parties Clash Over Honam Semiconductor Investment, with Conservatives Decrying 'State Control' and the Governing Party Calling It 'Obstruction'

[Financial News] Ahead of the National Report Meeting on the Three Mega Projects for a Great Leap Forward in Korea, which will be chaired by President Lee Jae-myung, the ruling and opposition parties continued to clash over the Honam Semiconductor Cluster. After the People Power Party criticized the plan as "twisting companies' arms," the Democratic Party of Korea fired back, calling it "malicious obstruction."
At a Supreme Council meeting at the National Assembly on the 29th, Han Byung-do, acting leader and floor leader of the Democratic Party of Korea, said, "The People Power Party has been raising objections even before the project announcement, invoking outdated regionalism, and is distorting the facts with provocative remarks such as state control and twisting companies' arms."
Earlier, People Power Party lawmaker Ahn Cheol-soo said that President Lee Jae-myung and the Blue House were, in effect, "grabbing companies by the collar and dragging them along." He also warned that "the moment they announce the Honam semiconductor project for Samsung Electronics and SK hynix, a complaint for abuse of power will be delivered to the Blue House as a case of a flagrant offender."
In response, Han said, "They are spreading absurd fake news. Are they in their right mind? It is truly deplorable." He added, "The People Power Party's claim stems from ignorance of global companies' survival strategies and is malicious obstruction aimed at blocking national growth. The location for cutting-edge future industries will be chosen at the optimal site, taking into account international trends and corporate interests."
He continued, "In the global market, the harsh reality is that products cannot be made and sold unless RE100 requirements are met. Choosing the best location by considering renewable energy infrastructure, abundant water supply, large-scale land, and living conditions is a company's survival instinct." He said, "It is only natural that they do not understand, since they view everything through outdated partisan interests and wasteful political strife."
He also urged, "The Democratic Party will respond legally without leniency to the People Power Party's malicious smear campaign. Stop the baseless incitement and join in bipartisan cooperation on a national project that will shape the next century."
Meanwhile, the People Power Party claimed that President Lee Jae-myung had effectively admitted to state intervention.
At the same Supreme Council meeting, Jeong Jeom-sik said, "The reason controversy arose over the Gwangju-Jeonnam semiconductor cluster is transparency, fairness and objectivity." He added, "With all regions across the country competing to attract semiconductor plants, the question is whether the site was chosen through a transparent, fair and objective evaluation process under the companies' autonomous judgment."
He went on to say, "President Lee Jae-myung said it was a decision made by CEOs at the request of public officials' persuasion, and that it was administrative guidance rather than an order for abuse of power or coercion." He argued that this was "wordplay that obscures the essence of the controversy, while also amounting to an admission that the plant location was decided through government interference and intervention."
Jeong added, "The very fact that two competing conglomerates announced large-scale investment plans at the same location at the same time suggests that this project was a forced decision driven by government state control intervention rather than the companies' autonomous judgment."
haeram@fnnews.com Lee Hae-ram Reporter