Reporting on current issues during the holidays... Lee Jae-yong's countdown to on-site management activities

Lee Jae-yong, Vice Chairman of Samsung Electronics, who was released on parole after 207 days of re-imprisonment, is leaving Seoul Detention Center in Uiwang, Gyeonggi Province on the 13th. Photo by Kang Jin-hyung, Uiwang aymsdream@

[Asia Economy Reporter Kim Heung-soon] Samsung Electronics Vice Chairman Lee Jae-yong is expected to resume full-scale management activities after a short break following his parole. During the holiday period, he reviewed key issues in major businesses such as semiconductors, home appliances, and smartphones, and planned his future course of action, drawing attention from the business community on which area he will prioritize and where he will focus his on-site activities.

According to industry sources and Samsung on the 17th, Vice Chairman Lee reportedly managed his schedule to review management issues even during the Liberation Day holiday. Although there were no official schedules such as executive meetings, he received remote reports on business status through key executives including Kim Ki-nam, Head of Device Solutions (DS), Jung Hyun-ho, President of Samsung Electronics Business Support Task Force (TF), Kim Hyun-seok, President of Consumer Electronics (CE) division, and Ko Dong-jin, President of IT & Mobile (IM) division.

An industry insider said, "Although there was a seven-month gap due to his imprisonment, he is likely to have a certain level of understanding of the issues in major business divisions, and since he met with key executives immediately after his release to discuss the current status, he is not expected to deliberate for a long time," adding, "He is expected to accelerate management activities according to priorities." Earlier, when Vice Chairman Lee left Seoul Detention Center on the 13th, he said, "I have heard well the worries, criticisms, concerns, and great expectations about me," and "I will work hard," supporting this view.

The business community anticipates a possible visit to the semiconductor plant, where large-scale investment is currently underway. Samsung Electronics is currently constructing the 3rd plant (P3) at the Pyeongtaek Campus. In the foundry sector, where Taiwan's TSMC and the U.S.'s Intel have announced large-scale investment plans, Samsung must finalize the approximately 20 trillion won expansion of its U.S. plant. There is also speculation that he may appear at the Suwon headquarters, where the smartphone and home appliance business sites are located.

On the other hand, there is also an expectation that he will focus on supporting COVID-19 vaccine supply. The Blue House mentioned regarding Vice Chairman Lee's parole, "In the midst of a severe crisis, especially in the semiconductor and vaccine sectors, many citizens are requesting parole with expectations for his role." Because of this, there is speculation that Vice Chairman Lee will visit Samsung Biologics' Incheon headquarters, which is scheduled to begin contract manufacturing of Moderna mRNA (messenger ribonucleic acid) vaccines from the end of this month.

It is also expected that he will attend the scheduled regular meeting of the Samsung Compliance Committee on the same day. This is because the Compliance Committee supported him to fulfill its original role even immediately after his imprisonment. However, Samsung Electronics stated, "At present, there is no particular indication that Vice Chairman Lee will visit the Compliance Committee meeting," and "There is no information to confirm regarding management activities or specific schedules."