World Leading Semiconductor Triangle Complex

The center of Korean semiconductor industry. Gyeonggi province is home to more than half of the entire Korean semiconductor companies. Samsung and SK Hynix are leading the semiconductor triangle project in Yongin, Hwaseong and Pyeongteak

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Gyeonggi-do will create a semiconductor cluster that integrates the semiconductor enterprises operating in the cities of Yongin, Hwaseong, and Pyeongtaek. The resulting Gyeonggi-do semiconductor industry triangle is expected to become a world-leading semiconductor development hub. 

A new SK Hynix semiconductor cluster in Yongin will be the final piece in this triangle. The Gyeonggi Provincial Government and Yongin City have been actively working to facilitate this project which will improve the local economy and greatly benefits local residents. 

Semiconductor Industry in Gyeonggi-do 

The Korean semiconductor industry is growing. Korea’s semiconductor exports in 2018 amounted to USD 126.7 billion, of which Gyeonggi-do accounted for USD 44.8billion. Moreover, the province is home to 64% of Korean semiconductor companies.

The largest semiconductor companies in Gyeonggi-do include Samsung Electronics (with plants in the cities of Yongin and Hwaseong), Samsung Semiconductor (in the Pyeongtaek City’s Godeok International Industrial Complex), and SK Hynix (in the cities of Yongin and Icheon). 

The Gyeonggi-do semiconductor triangle is expected to create synergy effects between these companies and augment their production capacities. Samsung and SK Hynix are predicting results that will have a significant global impact; it’s expected that this will help shift the focus of global semiconductor production.

SK Hynix in Yongin Completes the Gyeonggi-do Semiconductor Triangle

The new cluster in Yongin City marks a major step forward in Korea’s self-reliance in terms of semiconductor equipment, components, and materials. Gyeonggi-do, Yongin City, SK Hynix, and SK Engineering & Construction have reached an agreement regarding the development of this large semiconductor cluster, which will encompass 50 domestic and foreign businesses.

Bird-eye view of SK Hynix semiconductor cluster
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Apart from Samsung Electronics and SK Hynix, approximately 500 domestic and foreign businesses will also be part of the greater triangle area, making southern Gyeonggi-do an important semiconductor manufacturing base. 

SK Hynix opted to establish facilities in Yongin because of other semiconductor manufacturing facilities found nearby and the easy accessibility of Seoul. The SK Hynix-owned plants in the cluster will produce DRAM and next-generation semiconductors.

Development of the cluster will begin in early 2022 and related production is expected to start in 2024. It’s projected that combined investments of approximately KRW 120 trillion over 10 years will generate more than 100,000 jobs, contributing greatly to the local economy. 

World-leading Semiconductor Company: Samsung Electronics in Yongin and Hwaseong

Samsung Electronics, a global leader in the semiconductor industry, has semiconductor facilities in the Giheung of Yongin and Hwaseong; these are among the largest production centers of top-quality semiconductors in the world. The Samsung Electronics Nano City Hwaseong Campus, established in 1983, now has approximately 40,000 employees and has been continuously ranked as a top DRAM producer for decades.

Top-quality semiconductor manufacturing facility, Samsung Nano City Hwaseong Campus
ⓒSamsung Newsroom @flickr

Pyeongtaek Welcomes Foreign Semiconductor Companies

Closer to the Yellow Sea, the Poseung District in Pyeongtaek City aims to attract foreign businesses so as to propel its development as a central hub of the Yellow Sea Free Economic Zone(YESFEZ). These development plans include a complex that allows foreign and domestic businesses to work together, collaborate, and grow to create a global hub. 

YESFEZ Commissioner Hwang Seong-tae giving a speech at Investment Network Luncheon

In the wake of the Korea-Japan trade dispute, Korea plans to achieve greater levels of independence in the production of semiconductor equipment, components, and materials. New Korean businesses have already begun constructing manufacturing facilities in the Poseung District so as to meet the local demand and assure stable supply channels for the local semiconductor industry.

In addition, Samsung Electronics has also announced its plans to create an extreme ultra violet (EUV) foundry line in Pyeongtaek. Due to the growing importance of 5G technologies, AI, and high-performance computing (HPC), global EUV demand is growing while there are few producers. The new Samsung Electronics facilities in Pyeongtaek will play a pivotal role in delivering EUV solutions to the world.

The future is bright for the Korean semiconductor industry, which is expected to grow significantly and contribute on a global scale. At the center of this, Gyeonggi-do’s semiconductor triangle is emerging as a vital hub for innovation and high-quality production.