South Korea Sets Aside Record $19 Billion to Fuel Chipmaking
- Amount is more than double the amount proposed weeks ago
- Seoul is taking a more direct role as governments ramp up
Korea, the world’s biggest memory chip producer, has long preferred private conglomerates such as Samsung and SK to lead investment efforts.
Photographer: SeongJoon Cho/BloombergThis article is for subscribers only.
South Korea has unveiled a $19 billion package of incentives to bolster its chip sector, a boon to Samsung Electronics Co. and SK Hynix Inc. as they race to stay ahead in an increasingly competitive industry.
The 26 trillion won program includes 17 trillion won of financial support for certain investments as well as tax incentives, the presidential office said in a statement. The total is more than double the 10 trillion won Finance Minister Choi Sang-mok had proposed less than two weeks ago. Shares in Samsung and SK Hynix ended about 1% higher.