Samsung plans $648 billion South Korea investment over a decade: Report

Samsung Group is set to announce plans to invest 1,000 trillion won, or about $647.53 billion, in South Korea over the next 10 years, according to a media report on Friday.

The announcement is expected to be made on Monday during a meeting with President Lee Jae Myung at the presidential office, the Maeil Business Newspaper reported.

The report said the investment package could include as much as 300 trillion won for building new chip factories in the southwest of the country.

Massive chip push

If confirmed, the investment would mark one of the largest long-term corporate spending plans ever announced in South Korea.

The reported move comes as global semiconductor companies race to expand production capacity amid surging demand for chips used in artificial intelligence, cloud computing and high-performance computing.

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Samsung Electronics, the world's biggest memory chip maker, has been investing heavily to strengthen its position in advanced semiconductors and AI-related chips while defending its lead in memory technology.

The reported allocation for new fabrication plants suggests Samsung is preparing for the next phase of chip demand, even as the industry faces geopolitical tensions, supply chain shifts and rising costs.

Investment beyond Seoul

The announcement is also expected to address South Korea's long-running concern over the concentration of economic activity around Seoul and nearby cities.

According to the report, executives from Samsung Electronics and rival SK Hynix will attend the meeting to unveil investment plans aimed at regions outside the capital area.

Successive South Korean governments have pushed companies to expand manufacturing and research facilities beyond Seoul in an effort to promote balanced regional development and reduce economic inequality.

Samsung's reported plan to invest in the southwest could support those efforts while creating thousands of direct and indirect jobs.

Lee's industrial agenda

The meeting is expected to be part of President Lee's broader push to outline South Korea's industrial strategy.

On Thursday, the presidential office said it planned to hold a public briefing on "three mega-projects for South Korea's great leap forward," adding that details of the meeting would be announced soon.

Executives from some of South Korea's biggest companies, including Samsung Electronics and SK Hynix, are expected to attend as the new administration seeks to accelerate investment and regional development.

Global chip race

Samsung's reported investment plan reflects a wider global trend, with technology companies and governments pouring billions into semiconductor manufacturing as AI drives demand for advanced chips.

The United States, Europe and several Asian countries have rolled out incentives to attract chipmakers, viewing semiconductor production as both an economic priority and a strategic necessity.

For Samsung, expanding domestic manufacturing capacity could strengthen South Korea's role in the global chip supply chain while boosting the company's competitiveness in memory chips and contract manufacturing.

If the plan is confirmed on Monday, it would signal South Korea's intent to remain at the centre of the global semiconductor race as countries compete for future AI-driven growth.

With inputs from agencies.