Samsung Electronics Chairman Lee Jae-yong unveiled a four-sector, four-city industrial roadmap on Sunday, designating Incheon's Songdo district as what he called "the world's largest bio cluster" while anchoring Samsung's semiconductor expansion in Gwangju, robot manufacturing in Gumi, and battery production in Ulsan.
The announcements came at the "Korea Great Leap — Three Mega-Projects National Briefing" held at Cheongwadae in Seoul, where President Lee Jae-myeong praised Lee Jae-yong and SK Group Chairman Choi Tae-won as "national heroes," bowing 90 degrees before the two executives in a rare public gesture.
Semiconductors: Gwangju as Next Fab Candidate
Lee said Samsung is designating Gwangju as its next domestic semiconductor candidate site, citing the city's power grid, water supply, labor pool and expected government incentives as key factors.
"Among various regions, Gwangju is being planned as the new semiconductor candidate site because of the anticipated support in power, water, workforce acquisition and various incentive programs," Lee said, according to Yonhap News Agency.
The Gwangju fab would extend Samsung's domestic production footprint beyond existing or planned sites at Giheung, Hwaseong, Pyeongtaek, and the Yongin national industrial complex. The announcement aligns with the government's KRW 800 trillion Honam semiconductor corridor plan under the mega-project framework.
Biotech: Songdo as World's Largest Bio Hub
In a separate statement, Lee committed Samsung to building what he described as the world's largest bio cluster in Incheon's Songdo International Business District.
"Samsung's bio business — a strategic pillar with high growth potential — will receive concentrated investment in Incheon Songdo, with the goal of developing it into the world's largest bio cluster," Lee said, according to Etnews.
Songdo already hosts Samsung Biologics (207940.KS), one of the world's largest contract drug manufacturers by capacity, and Samsung Bioepis, a biosimilar joint venture with Biogen. The designation is expected to accelerate additional capacity additions and pipeline investment at both entities. Samsung Biologics operates four plants at the site, with Plant 5 currently under construction.
Lee's remarks mark the clearest reaffirmation of bio as a Samsung strategic pillar since the company's earlier restructuring efforts following legal and governance turmoil. Analysts had previously questioned whether Samsung's bio ambitions would be maintained at the same priority level as semiconductors and displays.
Robots: Gumi; Batteries: Ulsan
Lee designated Gumi — the North Gyeongsang city where Samsung Electronics was originally founded and which still houses major consumer electronics production — for robot manufacturing investment. The commitment comes as the government targets deployment of 25,000 AI-enabled robots by 2028, with Korean industrial conglomerates expected to anchor domestic supply chains.
Ulsan was designated for battery investment, reinforcing Samsung SDI's (006400.KS) position in the industrial city, where it operates manufacturing plants.
Presidential Recognition and Broader Context
At the event, President Lee Jae-myeong described the investment announcements as "a historic turning point," saying the two companies had proven that "corporations can act not only for profit but for the future of the national community."
Samsung's total disclosed investment commitment under the mega-project framework stands at KRW 2,655 trillion, spanning semiconductors, AI infrastructure, bio, and advanced manufacturing across multiple regions. The government's overall three-pillar breakdown allocates:
- KRW 881 trillion to the Honam (South Jeolla/Gwangju) semiconductor manufacturing corridor
- KRW 392 trillion to the Chungcheong advanced packaging cluster
- More than KRW 270 trillion to the Yeongnam AI, robot, and battery hub encompassing Gumi and Ulsan
Samsung Electronics (005930.KS) shares fell approximately 1% during Monday's session as investors weighed the scale of the capital commitments against near-term earnings expectations.
Sources: Yonhap News Agency · Yonhap — Songdo Bio · Etnews — Semiconductor · Etnews — Bio · Chosunbiz
