As the production timeline for the Yongsan Semiconductor Cluster approaches within a year, key infrastructure projects are facing significant delays due to administrative procedures and compensation disputes. Concerns are growing that the delay in securing access roads for the delivery of advanced equipment worth trillions of won could hinder timely factory operations.
According to government and industry sources on September 21, the expansion of Local Road 318, which serves as the main access route to the SK Hynix Yongsan fab, has been stalled for several months due to delays in land compensation negotiations and complaints from nearby residents. The road is set to be expanded from a two-lane to a four-lane configuration to accommodate the expected surge in traffic once the factory begins operations.
However, ongoing difficulties with land compensation discussions and persistent complaints from local residents have pushed back the completion date beyond the original schedule. The inability to handle thousands of construction material trucks and precision semiconductor equipment transport vehicles has raised alarms about the critical equipment delivery scheduled for early next year.
Delays in the improvement project for National Local Road 57, which directly connects Yongsan city and the Wonsam industrial complex, are also seen as a serious bottleneck. According to the Korea Economic Association, the project is facing uncertainty regarding its completion before the fab begins operations due to delays in preliminary feasibility studies and administrative approvals from the Ministry of Land, Infrastructure and Transport. The lack of a key transportation route for construction materials and future commuting workers raises concerns about potential logistics and workforce transportation crises as the cleanroom opening date approaches.
While the water supply infrastructure has begun construction, it remains uncertain whether it will meet operational deadlines. The Ministry of Climate, Energy, and Environment approved the implementation plan for the first phase of the Yongsan Semiconductor Complex Integrated Water Supply Project on September 18, starting construction. The plan includes installing dedicated pipelines and a pressurization station over approximately 47 kilometers from the Paldang Dam to the industrial complex, initially supplying 310,000 tons of water per day, with a future phase aimed at providing an additional 762,000 tons, totaling 1,072,000 tons of industrial water to Samsung Electronics and SK Hynix.
The challenge lies in the phased approach to construction, which will begin sequentially as design and permitting are completed, rather than all at once. Civic groups in Gwangju, where a significant portion of the pipeline (about 27 kilometers) will run, are demanding measures to address traffic and environmental impacts. If delays occur during the individual review of permits and resident consultations by local governments, it is likely to disrupt the timely water supply schedule needed for the fab's production start next year.
The high-voltage transmission network project is also progressing slowly. Of the 75 projects for the 345kV high-voltage transmission network intended to supply the Yongsan cluster, about 70% (53 projects) remain unstarted, with a completion deadline set for 2030.
In response, the Ministry of Climate stated, "Many of the preparatory projects are short-distance underground transmission lines near the industrial complex, which should take about a year for preliminary procedures and three years for construction, ensuring no delays in the scheduled 2030 completion."
However, the situation is different for long-distance transmission lines. The new line from Sinwonju to Dongyongsan, which will supply power to the SK Hynix industrial complex, will pass through seven cities and counties, requiring the installation of about 130 transmission towers. Local residents are urging the withdrawal of the project due to health and safety concerns related to electromagnetic waves and property rights, demanding the consideration of underground options and alternative routes. In January, the Yeongju City Council adopted a resolution requesting the exclusion of the Yeongju section from the project.
An industry insider remarked, "While major countries are rapidly supporting semiconductor fab infrastructure through national initiatives, South Korea is at risk of being unable to operate the fab due to delays in connecting roads and water supply, despite having built the factory itself. Immediate measures, such as special provisions for the collective approval of related permits, are urgently needed."
* This article has been translated by AI.
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