South Korea targets 2029 completion for Honam semiconductor cluster fab

South Korea is accelerating plans to establish a major semiconductor cluster in the Honam region, with the goal of completing the first phase of its fabrication plant (fab) by 2029. Minister of Trade, Industry and Energy, Kim Jeong-kwan, announced that the project will focus on rapidly advancing the creation of a national industrial complex, led by the Ministry of Land, Infrastructure and Transport.

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We have decided to proceed rapidly with the creation of a national industrial complex, centered on the Ministry of Land, Infrastructure and Transport, with the goal of completing the first phase of the fab by 2029.

This initiative is part of a larger "mega-project" aimed at bolstering the nation's semiconductor industry. President Lee Jae-myung has emphasized the need for swift execution, urging all government ministries and local authorities to collaborate. He specifically called for the relocation of the Gwangju military airport by mid-2028 to expedite the development of the semiconductor industrial site.

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If you provide measures to utilize the Gwangju (Air Base) base as a semiconductor industrial complex early on by relocating it to another military airport by mid-2028, it would be good.

"We have decided to proceed rapidly with the creation of a national industrial complex, centered on the Ministry of Land, Infrastructure and Transport, with the goal of completing the first phase of the fab by 2029," Kim stated during a cabinet meeting. The plan involves securing essential infrastructure, including a stable supply of electricity and water. This will be supported by regional renewable energy sources, energy storage systems (ESS), and liquefied natural gas (LNG) power generation. Efforts are also underway to shorten construction periods for key infrastructure, such as underground power lines.

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There are quite a few aspects that need realistic improvement, as it is the largest project since the establishment of the government.

President Lee stressed the importance of overcoming bureaucratic hurdles and outdated practices that could impede progress. "There are quite a few aspects that need realistic improvement, as it is the largest project since the establishment of the government," he remarked. "We must boldly improve or shorten existing outdated practices and unnecessary procedures, and all ministries and local governments must work together to proactively remove obstacles that hinder early investment." He urged officials to focus on finding solutions rather than dwelling on reasons why the project might fail, encouraging proactive, creative administration.

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We must boldly improve or shorten existing outdated practices and unnecessary procedures, and all ministries and local governments must work together to proactively remove obstacles that hinder early investment.