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Korea to provide $6.45 billion in financial support for chip industry by 2025

The initiative aims to enhance the country’s competitiveness in the global chip market.

Chip
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South Korea will extend 8.8 trillion won ($6.45 billion) in low-interest loans and other support to the semiconductor industry by 2025, the Ministry of Economy and Finance announced.

The initiative, part of a larger 26 trillion won package outlined by President Yoon Suk Yeol in June, aims to enhance the country’s competitiveness in the global chip market.

By 2025, the government will allocate 4.7 trillion won for low-interest loans to chipmakers and funding programmes for fabless companies and chip material firms. Another 1.7 trillion won will be designated for research and development in advanced chip technologies and talent development next year.

Additionally, 2.4 trillion won will support infrastructure development for a planned semiconductor cluster in Yongin, Gyeonggi Province.