At a national report meeting on Korea's "Three Mega Projects for a Great Leap Forward," presided over by President Lee Jae-myung at the Blue House on Monday, ultra-large investment plans were announced centered on a semiconductor production base in Gwangju, physical robots, and the construction of artificial intelligence (AI) data centers. Samsung Electronics and SK hynix will invest 800 trillion won to build new semiconductor plants in Gwangju. The AI data centers will receive 550 trillion won, while physical AI investment will focus on the Chungcheong region as well as Daegu and North Gyeongsang Province. The new investment the two companies pledged on that day to inject over the next decade into advanced regional industries, including the Honam semiconductor cluster, reaches 1,500 trillion won. Jay Y. Lee, Executive Chairman of Samsung Electronics, said, "We are planning the next semiconductor complex in Gwangju." Physical AI will be located in Gumi, North Gyeongsang Province, while high-bandwidth memory (HBM) production facilities will be based in Cheonan and Onyang, South Chungcheong Province.
If these ultra-large investment plans are properly implemented, they will open the way to a great leap forward into an irreplaceable K-semiconductor powerhouse, as well as the nurturing of physical AI as a national strategic industry. President Lee said, "I will make the second year of my administration the year when the dream of an irreplaceable Korea begins," adding that "a great leap forward into an industrial powerhouse with an unrivaled edge is the core task." However, the semiconductor and AI industries cannot guarantee success through investment alone. Success or failure depends on how stably the country can secure manpower, water, and electricity—the so-called "people, water, and power." This is precisely why the opposition party and some experts have raised the question, "Why the southwestern region?"
For Korea to stand tall as an industrial powerhouse with an unrivaled edge through the execution of these three mega projects, companies must lead from the front while the government provides full support without interference. In this regard, President Lee's pledge that day—that "we will mobilize all government capabilities so that companies do not suffer losses" and that "we will even establish a dedicated organization directly under the Blue House"—must be carried out without setbacks. In particular, project execution must not be delayed by regulatory obstacles. The government must keep in mind that while construction is delayed by a year and transmission networks by two years, competing nations begin production. It is now time for the government to undertake bold regulatory reform, including dramatically shortening the various permit and licensing procedures tied to building power grids and water facilities, and converting industrial complex designations and environmental impact assessments into a fast-track processing system. In particular, bold regulatory exemptions should be applied to the mega special zones to create an optimal environment that makes it easy for companies to invest.
