South Korean President Lee Jae Myung is poised to convene with the heads of the nation’s leading conglomerates next week to roll out an ambitious regional investment plan centered on cutting-edge sectors like artificial intelligence, semiconductors, advanced materials, batteries, and future mobility technologies. The anticipated meeting on June 29 will include top executives from major firms such as Samsung Electronics, SK Group, Hyundai Motor Group, and LG Group.
This new strategy is a key component of President Lee’s wider objective to foster balanced development across the country by channeling investments outside the Seoul metropolitan area. In alignment with this goal, the government plans to introduce incentives, including tax breaks and regulatory reforms, along with support for essential resources like electricity and water, and workforce development initiatives. On their end, participating companies are expected to announce fresh investment commitments.
In preparation for this initiative, President Lee has been engaging in dialogues with business leaders, including scheduled discussions with Lee Jae-yong and recent consultations with Chey Tae-won. The administration aims to create regional industrial hubs that attract AI and semiconductor investments while strengthening connections between universities, research institutions, startups, and suppliers. Officials hope that this approach will lead to the creation of high-quality jobs and help mitigate the trend of population migration towards Seoul.
Industry specialists indicate that semiconductor projects outside the capital are more likely to focus on advanced packaging and testing facilities rather than the large-scale wafer fabrication plants found in existing semiconductor clusters. These projects often require substantial infrastructure investments, which are typically concentrated in established hubs.
Historically, regional development initiatives have faced obstacles such as labor shortages, permitting delays, limited infrastructure, and weaker supplier networks. Analysts caution that the success of President Lee’s initiative will heavily rely on the government’s capacity to deliver effective support and establish favorable conditions for sustained investment.