[Asia Economy Reporter Jeong Hyunjin] The global semiconductor hegemony war, centered on major countries such as the United States, the European Union (EU), China, and Japan, has been fiercely ongoing since the beginning of this year following last year, causing tension in the domestic semiconductor industry. With full support from governments worldwide, the industry is hopeful that semiconductor support, including talent development, will be realized, and is paying close attention to the semiconductor-related policies of leading presidential candidates.
According to the industry on the 26th, the recently passed "Special Act on Strengthening and Protecting the Competitiveness of National Advanced Strategic Industries," also known as the Semiconductor Special Act, excluded several key provisions during the legislative review process. These excluded provisions included expanding the quota for semiconductor departments in universities in the metropolitan area, exemption from the 52-hour weekly flexible working system for semiconductor R&D personnel, and up to 50% tax credit on facility investment costs. While the semiconductor industry is relieved that the special act itself was enacted, it expresses regret that core issues were omitted from the content.
In particular, the industry had requested that the special act include provisions for government-level semiconductor talent development, but concerns about population concentration in the metropolitan area and opposition from local lawmakers led to its exclusion this time. A semiconductor industry official lamented, "Competition to attract talent is fierce worldwide, but it is difficult to establish programs for talent development domestically."
Seemingly aware of this, leading presidential candidates have been emphasizing the importance of the semiconductor industry daily. On the 21st, Ahn Cheol-soo, the presidential candidate of the People’s Party, visited Samsung Electronics’ Hwaseong Campus and said, "If necessary, even establishing special schools to expand semiconductor talent is essential to securing national competitiveness." Yoon Seok-yeol, the People Power Party candidate, who mentioned the importance of semiconductor research talent development during his visit to Seoul National University’s Semiconductor Joint Research Center last May, recently announced plans to focus on supporting the advancement of system semiconductors. Lee Jae-myung, the Democratic Party candidate, visited Samsung Electronics four times last year and recently announced plans to build a ‘5 Major Super Clusters,’ including semiconductors.
The reason presidential candidates are successively mentioning semiconductor policies is interpreted as a response to the intensifying semiconductor competition centered on major countries. The Joe Biden administration in the United States began collecting industry opinions on semiconductor industry incentives and talent development through the Federal Register on the 24th (local time). Additionally, it recently urged Congress to "complete the Semiconductor Support Act" and expedite its passage. Ursula von der Leyen, President of the European Union (EU) Commission, also announced plans to unveil Europe’s Semiconductor Support Act early next month, promising extensive support for the semiconductor industry. Japan, Taiwan, India, and others are also making efforts to establish semiconductor support laws.
Park Jae-geun, president of the Korea Semiconductor Display Technology Society, advised, "It is necessary to include provisions in the special act to ease already identified regulations or to allow the establishment and expansion of semiconductor departments nationwide." Professor Lee Jong-ho of Seoul National University (Director of the Semiconductor Joint Research Center) stated, "Even if tens of trillions are invested, excellent talent is essential to achieve practical effects," adding, "Support is needed to establish qualitative and quantitative programs to cultivate talent regionally."
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