S. Korea to invest 160 tln won in key tech sectors by 2027

All News 07:30 April 06, 2023

SEOUL, April 6 (Yonhap) -- South Korea will funnel a total of 160 trillion won (US$122 billion) into research and development to foster research capabilities in the three key technology sectors of semiconductors, displays and next-generation batteries by 2027, the science ministry said Thursday.

Under the road map submitted to a government meeting, the funding jointly created by the government and private sector will be used to help local companies and research centers secure cutting-edge technologies and create new markets in the three tech sectors, according to the Ministry of Science and ICT.

A total of 100 specified technologies, including semiconductor devices, free-form displays and hydrogen fuel cells, will be given priority for the government funding.

As a first step, the government will set up a private-public consultative body later this year to map out plans to launch government-funded R&D projects and share their results with the industry.

The government's R&D scheme also includes programs to encourage well-educated students and experts to get jobs in the related industries in a timely manner and to create social infrastructure for effective R&D.

"Semiconductors, displays and next-generation batteries are the sectors that have supported the Korean economy on the back of competitiveness of our private sector," Science Minister Lee Jong-ho said in a statement. "The government will join hands with the private sector to expand R&D investment to lead the world in the key technology sectors."

South Korea has been strengthening financial and administrative support for the country's key economic-driving sectors, like semiconductors, as a way to regain growth momentum for Asia's fourth-largest economy.

Last month, the parliament passed a bill aimed at supporting the semiconductor industry by giving bigger tax incentives to chipmakers and other strategic industries.