Rules under the Semiconductor Special Act take effect Aug. 11, prioritizing non-capital regions in cluster designation and workforce support while allowing full backing for key industrial facilities.
South Korea has approved detailed enforcement rules for its Semiconductor Special Act, clearing the way for the measures to take effect on Aug. 11 and setting out how the government will fund and administer semiconductor industry clusters. The rules, approved by the State Council on Aug. 4, allow the central and local governments to cover 50% to 100% of the cost of industrial infrastructure needed to build and operate designated semiconductor clusters. Facilities tied to redundancy, supply chain stability and industrial security can receive full support. The decree also spells out how semiconductor clusters will be designated, requiring applicants to submit construction plans covering development goals, location, area, local industry and infrastructure conditions, and plans for talent training and research foundations. Regions outside the capital area will receive priority consideration in cluster designations. Beyond infrastructure spending, the rules define standards and procedures for designating institutions that train semiconductor specialists and allow priority support for employment matching and retraining for semiconductor companies and regional talent outside the capital area. Kim Jung-kwan said the Ministry of Trade, Industry and Energy will work with relevant departments to carry out the law's main policy tasks.