General Manager of Operations: "Korean Companies Receive US Semiconductor Subsidies"

Jung In-kyo, Head of the Trade Negotiation Bureau at the Ministry of Trade, Industry and Energy, said on the 12th (local time) that the U.S. government is expected to announce support measures for Korean companies under the Semiconductor Act by the end of this month.

Jung, who visited the U.S. to attend the Korea-U.S. Free Trade Agreement (FTA) Joint Committee, reportedly made these remarks while speaking with reporters at Washington D.C.'s Dulles International Airport on the same day.

Jin In-gyo, Head of Trade Negotiations at the Ministry of Trade, Industry and Energy, is delivering a greeting at the Foreign Economic Ministers' Meeting and the Foreign Economic Cooperation Fund Management Committee held for the first time on the 7th at the Government Seoul Office in Jongno-gu, Seoul. Photo by Jo Yong-jun jun21@

Jung expects the U.S. government to announce the support measures by the end of March and specify the amount of subsidies. Regarding the scale of support, he said, "The U.S. has established guidelines, and since support will be provided according to these guidelines, it is currently difficult to predict whether there will be any disadvantages for Korean companies."

The U.S. Department of Commerce provides production subsidies and research and development grants under the Semiconductor Support Act to promote semiconductor companies' facility investments in the U.S. Support is provided through consultations with individual companies, and among Korean companies, Samsung Electronics is known to be negotiating subsidies with the Department of Commerce. Samsung Electronics has announced plans to invest $17 billion (approximately 22.3465 trillion KRW) to build a new factory in Texas.

Bloomberg recently reported that Taiwanese semiconductor company TSMC is expected to receive more than $5 billion (approximately 6.5725 trillion KRW) in subsidies, and Samsung Electronics is projected to receive several billion dollars.

It has been reported that the U.S. government recently pressured South Korea to control semiconductor equipment exports to China. Regarding discussions between Korea and the U.S. on semiconductor equipment export controls, Jung said, "There have been ongoing consultations," but added, "It is still too early to disclose specific details."

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