Samsung's Lee Jae-yong Says It Is a "Time of Decision" as the Ground Shifts... Samsung, SK and Others to Invest 392 Trillion Won in Chungcheong Region

[Financial News] Major domestic companies, including Samsung Group and SK Group, will invest 392 trillion won in the Chungcheong Region to build production bases for key materials, components and memory semiconductors for the AI era. Samsung plans to invest 140 trillion won in displays, high-bandwidth memory (HBM), batteries and package substrates for AI servers, while SK hynix will put in 100 trillion won for NAND flash production facilities and advanced packaging equipment. The goal is to develop the Chungcheong Region into one of the key clusters of the global AI industry.
At the event in Asan, South Chungcheong Province, on the 2nd, Samsung Electronics Chairman Lee Jae-yong said, "Chungcheong, the center of the country, will grow even further into a global hub for IT materials and components." He added, "The future success or failure of the AI era depends on the materials and components that power AI, and that is directly linked to Samsung's future." He continued, "Samsung's dream took root here in Chungcheong and grew to bear fruit," and emphasized, "Samsung will devote all its efforts to making a great leap forward into an industrial powerhouse with overwhelming technological leadership."
Samsung Display President Chung Yi then announced the company's detailed investment plans. He said, "Samsung will invest about 140 trillion won to develop Chungcheong into a center for materials and components with overwhelming technological leadership." He added that Samsung Display plans to invest 67 trillion won in Asan and Cheonan, Samsung Electronics 56 trillion won in HBM fabs in Onyang and Cheonan, SamsungSDI 9 trillion won in a battery mother factory in Cheonan, and Samsung Electro-Mechanics 8 trillion won in package substrates in Sejong City.
He also said, "To execute these investments quickly, active government support is necessary." He added, "To secure outstanding talent, we ask for the extension and early connection of the GTX line to Cheonan-Asan Station, and we also need incentive support so we can compete on conditions similar to those of rival countries."
SK hynix will invest about 100 trillion won in NAND flash and advanced packaging production facilities. Kwak Noh-jung, president of SK hynix, said, "We plan to invest a total of 100 trillion won in Cheongju." He added, "We will invest 80 trillion won in M17, a NAND production facility, and 20 trillion won in P&T7 and other facilities to strengthen advanced packaging competitiveness."
He said, "P&T7 will be completed by the end of next year and serve as an advanced packaging hub, while the new M17 fab will break ground next year and is targeted to begin operations in the first half of 2029." He added, "Through this investment, we will establish Cheongju as a key base that drives the competitiveness of South Korea's memory semiconductor industry." He also said that SK and several other companies plan to invest about 150 trillion won in building AI data centers in the Chungcheong Region. Celltrion will also invest 2 trillion won to expand its biomanufacturing facilities.
soup@fnnews.com Lim Subin Reporter