S. Korea plans extra $4.9 bn help for chips
amid US tariff anxiety
South Korea is home to the world’s largest memory chip maker Samsung, and largest memory chip supplier SK Hynix (Jung Yeon-je)
- Pfizer opened a $1 billion plant in Singapore’s Tuas Biomedical Park on July 23
- The facility will produce active pharmaceutical ingredients for cancer, pain, and antibiotic medicines
- The plant has earned a Green Mark Gold certification for environmental sustainability
- Pfizer’s investment will create 250 skilled jobs and strengthen its global manufacturing capacity
- The biomedical sector is crucial to Singapore’s economy, contributing 2.3% to GDP in 2022
South Korea on Tuesday announced plans to invest almost $5 billion extra in the country’s semiconductor industry, citing “growing uncertainty” over US tariffs.
The country is a major exporter to the United States and its powerhouse chip and auto industries would suffer a hefty hit from President Donald Trump’s threatened 25 percent levies.
Concerns about the sector have hammered the Seoul-listed shares of the world’s largest memory chip maker Samsung, and largest memory chip supplier SK Hynix.
Officials have now stepped up to provide more cover for the economically crucial industry by announcing an extra $4.9 billion will be pumped into it through 2026.
“An aggressive fiscal investment plan has been devised to help local firms navigate mounting challenges in the global semiconductor race,” the finance ministry said in a press release.
It warned “growing uncertainty” following rounds of US tariff threats had left the sector clamouring for government support.
“To foster a dynamic, private sector-led ecosystem for semiconductor innovation and growth, the government will increase its investment in the sector from 26 trillion won ($18.2 billion) to 33 trillion won,” the ministry said.
Trump announced on his April 2 “Liberation Day” sweeping tariffs on its global trading partners, including the 25 percent on South Korean goods, before backtracking and suspending their implementation for 90 days.
Even so, “duties targeting specific sectors such as semiconductors and pharmaceuticals, remain on the horizon”, finance minister Choi Sang-mok said during a meeting.
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