June 27, 2023
1 min read

S. Korea’s  $230 mn fund to boost chip industry

The remaining 150 billion won will come from private investors, it added. The largest-scale fund for the semiconductor industry is expected to be launched within this year, reports Yonhap news agency…reports Asian Lite News

South Korea will create a fund worth 300 billion won ($229.25 million) to ensure the stable value chain of the chip industry by strengthening the logic chip sector and related materials, parts and components firms, the industry ministry said on Monday.

Samsung Electronics and SK hynix vowed to invest a combined 75 billion won, and the Korea Development Bank, the Industrial Bank of Korea and several other entities will extend another 75 billion won of policy financing for a parent fund, according to the Ministry of Trade, Industry and Energy.

The remaining 150 billion won will come from private investors, it added. The largest-scale fund for the semiconductor industry is expected to be launched within this year, reports Yonhap news agency.

The fund, in particular, is aimed at supporting fabless companies and those making materials, components and equipment of the chip industry so as to strengthen the overall “ecosystem” of the industry, as they are struggling with raising funds amid the industry downcycle and recent interest rate hikes, according to the ministry.

The country launched the 240 billion-won fund in 2017 to spur industry growth and the separate one worth 120 billion won in 2020, and both are expected to run out around next year.

“This fund is expected to help make the South Korean version of Nvidia that will lead the country’s chip industry. The government will continue to extend various supportive measures,” First Vice Industry Minister Jang Young-jin said.

The semiconductor industry is the backbone of the country’s economy, and the government has vowed all-out efforts to support the industry by easing regulations, offering greater incentives for investment and nurturing talent.

Earlier this year, the National Assembly passed a revision of the Act on Restriction of Special Taxation, also dubbed the K-Chips Act, which centers on expanding the tax credit rate for chipmakers.

ALSO READ-Wearable tech market set to reach new milestone

Previous Story

Solar and hydro projects accompany China’s LAC military expansion

Next Story

Pak chief justice expects no civilian is ‘tried’ in military courts

Latest from Asia News

India Gains Malaysia’s Backing on Terror

The visit of the all-party delegation to Malaysia is part of India’s strategic outreach to garner international support against cross-border terrorism emanating from the soil of Pakistan….reports Asian Lite News An Indian

Hasina Charged with Crimes Against Humanity

The charges, which were made public on Sunday, mark a significant turn in the political landscape of Bangladesh…reports Asian Lite News Former Bangladesh Prime Minister Sheikh Hasina has been formally charged with

Syria Strikes $7b Deal

The agreements, signed in the presence of Syrian leader Ahmed al-Sharaa, mark a total investment of 7 billion U.S. dollars…reports Asian Lite News – Syria signed a series of memoranda of understanding

More Killings in Palestine

Israeli occupation forces opened fire directly at hundreds of civilians as they attempted to reach an aid distribution centre in the al-Mawasi area of western Rafah At least 31 Palestinians were killed

Hamas Open to Fresh Talks

The movement said that it is ready to “immediately begin a round of indirect negotiations” to address the outstanding issues…reports Asian Lite News Hamas affirmed its readiness to begin indirect negotiations over
Go toTop