Reviewing K-Semiconductor Site Options:
Power Supply, RE100, and Airport Connectivity

Bird's-eye view of the Muan Distributed Energy Specialized Industrial Complex. Provided by Muan County

Bird's-eye view of the Muan Distributed Energy Specialized Industrial Complex. Provided by Muan County

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Muan County in South Jeolla Province has begun proactively preparing for the "Great Transformation Era of Muan" by reviewing future industrial site strategies in response to changes in the global industrial environment.


According to the county, a recent policy discussion was held with Sunhyoung Lee, Professor of Electrical Engineering at Dongshin University and an expert in the power and energy sector. The discussion covered a wide range of topics, including RE100 response centered on the semiconductor industry, utilization of the national power grid, logistics, and industrial site conditions.


This discussion was organized to examine the direction of changes in the industrial environment amid the ongoing energy and industrial transition trends in the southwestern region of South Jeolla Province, and to review Muan County's site advantages and its preparations for the medium and long term.


During the discussion, Professor Lee stated, "The competitiveness of the semiconductor industry is determined not by individual companies or specific regions, but by core conditions such as the structure of power supply, energy costs, logistics stability, and long-term scalability."


He explained, "The concentration of industry in the Seoul metropolitan area has led to accumulated transmission constraints and increased grid load due to concentrated power demand. Regions with abundant renewable energy potential and favorable conditions for connection to the national power grid can become industry-friendly options."


Regarding RE100 response, he noted, "Depending on how direct PPAs, distributed energy systems, and local power grid conditions are combined, companies can experience significant differences in energy costs and supply stability. Efficiently utilizing renewable energy within the region can reduce transmission losses and grid load, while also contributing to the efficiency of the national power grid."


The importance of logistics conditions in relation to the characteristics of the semiconductor industry was also highlighted. Professor Lee explained, "Semiconductors are a high-value-added, low-weight industry with a high dependence on air logistics, and even short delays or minor shocks can directly affect yield. Accessibility between industrial complexes and airports, as well as the speed and stability of logistics, are key competitive factors." He also predicted that accessibility to East Asian and Southeast Asian markets, as well as to OSAT (Outsourced Semiconductor Assembly and Test) hubs, will become increasingly important in future strategies.


County Mayor Kim San stated, "Muan is a region where the airport, national power grid, renewable energy resources, and large-scale available land are relatively concentrated. We are reviewing the potential roles that Muan County can play in the context of the energy and industrial transition in the southwestern region of South Jeolla Province from a medium- to long-term perspective."


The county believes that, based on approximately 16.5 million square meters (about 5 million pyeong) of flat land and expandable sites near the airport, it is possible to establish a long-term industrial base centered on semiconductor factories, connecting materials, parts, equipment, research and development, and post-processing. In addition, the county is considering operational conditions that take both the environment and industry into account, such as improved accessibility to the Seoul metropolitan area with the opening of the Honam High-Speed Railway (KTX) in 2027, securing industrial water using the Yeongsan River system, and the potential application of a zero liquid discharge (ZLD) system.


Mayor Kim added, "The semiconductor industry is highly symbolic not only for balanced national development but also in terms of military airport relocation and city-province integration discussions. Muan is steadily preparing for the next phase of the K-semiconductor industry by creating an industrial environment that meets RE100 requirements."


The county plans to use this policy discussion as an opportunity to enhance its expert advisory system and strengthen cooperation with relevant organizations, thereby increasing the specificity of its policies, including conducting research for the establishment of a national industrial complex based on RE100. In collaboration with South Jeolla Province and through consultations with relevant ministries, the county also intends to systematically organize the necessary policy tasks in stages.



Meanwhile, last year, Muan County formed a new industry attraction task force with the goal of realizing the "Great Transformation Era of Muan." The task force has reviewed the industrial potential of various sectors, including semiconductors, green hydrogen, physical AI, basic energy income, and RE100 industrial complexes. Based on the results of these reviews, the county is gradually detailing industrial strategies that suit regional conditions.


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

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