Korea Semiconductor Act Enforces Aug 11, Offering 100% Fiscal Support for Cluster Infrastructure

South Korea's Special Semiconductor Act takes effect August 11, mandating up to 100% government funding for cluster infrastructure and prioritizing non-capital regions to boost industry competitiveness.

Woofun AI reports that the Enforcement Decree of South Korea's Special Act on Strengthening the Semiconductor Industry Competitiveness and Support was approved by the State Council on August 4 and will take effect on August 11. The legislation establishes a presidential-level mechanism, defining special committee composition, cluster designation procedures, talent development support, and dedicated accounting operations.

Applicants for semiconductor cluster designation must submit construction plans detailing objectives, location, infrastructure status, and talent cultivation strategies, with non-capital regions receiving priority. National and local governments may cover 50% to 100% of industrial infrastructure costs, with full support available for redundancy, supply chain stabilization, and security-related facilities. Minister of Trade, Industry and Energy Kim Jung-kwan confirmed the ministry will collaborate with relevant departments to implement these policy tasks.