Semiconductor Association Welcomes Special Act Implementation... Expects Swift Support for Investment and Infrastructure

Calls for Support of Core Infrastructure such as Power and Water
Emphasis on Enhancing Global Competitiveness in the Age of AI

The Korea Semiconductor Industry Association (KSIA) has welcomed the full-scale implementation of the "Special Act on Strengthening and Supporting Semiconductor Industry Competitiveness" (hereafter referred to as the Special Semiconductor Act), urging the seamless execution of policy support measures to promote large-scale investment expansion and ecosystem innovation within the domestic semiconductor industry.

In a statement on the 11th, the association said, "We welcome the government's and National Assembly's efforts in formulating the Special Semiconductor Act to enhance the competitiveness of the semiconductor industry, and its enforcement starting today." The KSIA also emphasized, "We expect this special law to serve as an important institutional foundation to support increased investment by our companies and innovation in the industrial ecosystem."

Previously, the Ministry of Trade, Industry and Energy adopted the enforcement ordinance for the Special Semiconductor Act during a Cabinet meeting on August 4. This enforcement ordinance details the delegated matters of the Special Act, which was legislated in February, and will also take effect starting today.

The association stated, "What is most important is that investment support, core infrastructure establishment such as power and water, and follow-up support policies are pursued rapidly and consistently, so that the special law can generate tangible results in the field." They added, "When government policy execution is organically linked with active corporate investment, the competitiveness of the entire semiconductor industry—including memory, system semiconductors, advanced packaging, as well as materials, components, and equipment—will be significantly strengthened, and Korea's semiconductor ecosystem will become even more robust."

The KSIA further said, "We hope that, with the implementation of the special law as a turning point, the government and industry will closely cooperate to solidify the domestic semiconductor ecosystem and establish conditions for our companies to lead global competition in the era of AI without any disruption." They pledged, "The association will also faithfully serve as a bridge between the government and industry, and actively collaborate so that the voices from the industrial field are reflected in policies."

Meanwhile, the enforcement ordinance outlines the formation and operational guidelines for the "Special Committee on Strengthening Semiconductor Industry Competitiveness," which is chaired by the President and oversees the long-term policy direction for the semiconductor industry. It specifies that non-capital regions will be prioritized when designating semiconductor clusters, and support for the infrastructure necessary to create such clusters will be expanded. The national and local governments may cover between 50% and 100% of costs related to the creation and operation of industrial infrastructure, and facilities contributing to redundancy, supply chain stability, or industrial safety may be eligible for full cost support.

This content was produced with the assistance of AI translation services.