South Korea Unveils Defense Semiconductor Strategy, Gyeongbuk and Daejeon Compete for Production Hub

According to Yonhap Infomax and government officials, South Korea's Ministry of Science and Technology, Ministry of Industry and Trade, and Defense Acquisition Program Administration unveiled a "Defense Semiconductor Localization and Industrial Ecosystem Strategy" on July 23.

Gyeongbuk Province is advancing a defense collaborative foundry plan centered on KEC's production facility in Gumi, linked with defense contractors like Hanwha Systems and LIG Nex1. Daejeon is leveraging concentrated research institutions—including the Defense Acquisition Program Administration, ADD, ETRI, and KAIST—to build public and mass-production fabs. The government plans to support private foundry R&D through existing public and private fabs alongside a new public-private collaborative fab, though the specific location and business model remain undecided.