South Korea Semiconductors
Semiconductors (chips) are South Korea’s largest export item, accounting for 18.9 percent of the country’s total exports in 2022. Analysts predict that global demand for chips relating to new IT devices, and innovative services like artificial intelligence (AI) and cloud computing, will lead to continued growth over the next few years.
South Korea is the leader in the memory chip fabrication, with Samsung Electronics and SK Hynix accounting for 73 percent of the global DRAM market share and 51 percent of the NAND flash market. However, for other types of semiconductor products such as microprocessors and sensors, South Korean companies are relying upon a variety of government led national development plans to bolster the industry.
There is a significant market for U.S. suppliers of equipment, materials, and services for semiconductor fabrication in South Korea. In a recent survey by SEMI, South Korean companies purchased $22 billion of semiconductor equipment representing 20 percent of the global semiconductor equipment market in 2022. South Korea also imports a significant amount of semiconductor materials from the United States and Japan.
To learn more about business opportunities in Korea’s semiconductor sector, please contact Commercial Specialist Mr. Chan Hyuk Kim at Chanhyuk.Kim@trade.gov.