The Ministry of Economy and Finance said on Tuesday that the South Korean government will begin negotiations on securing the construction site as soon as it confirms the cluster plan. (image: SK hynix)
GUMI, Jan. 17 (Korea Bizwire) – With the construction plan for SK hynix Inc.’s 120 trillion won (US$106 billion) cluster for semiconductors to be announced next month, the city of Gumi in North Gyeongsang Province is rushing to come up with a master plan to be selected as the site for the cluster.
The Ministry of Economy and Finance said on Tuesday that the South Korean government will begin negotiations on securing the construction site as soon as it confirms the cluster plan.
Gumi is competing with Yongin, Icheon, and Cheongju to accommodate the new cluster for semiconductors.
North Chungcheong Province sent an official letter to SK hynix informing the company of its intention to accommodate the cluster, recommending several locations at its semiconductor innovation complex approved by the government.
Icheon plans to organize an emergency committee “to break current practices of imposing restrictions on the Greater Seoul Metropolitan Area.”
Politicians from the city recently met with Chey Tae-won, chairman of SK Group.
Yongin, the strongest candidate for the new cluster, also plans to engage with the Ministry of Trade, Industry and Energy to discuss the path ahead.
North Gyeongsang Province and Gumi, however, seem to be falling behind as they reportedly lack even the most basic investment strategies.
Lee Cheol-woo, the governor of North Gyeongsang Province, and Jang Se-yong, mayor of Gumi, recently failed to get in touch with SK hynix management during their stay in Las Vegas.
“The government announcement is just around the corner, and we need to come up with a strategy to make a strong appeal,” said Gumi residents.
“The new semiconductor cluster is a vital issue to maintain strong regional economy.”
M. H. Lee (mhlee@koreabizwire.com)
