“Approximately 15 million cubic meters of soil need to be moved from the first section. This will require about 2 million trips by 25-ton dump trucks.”
On September 30, the site for the Yongin Advanced System Semiconductor Cluster National Industrial Complex was visited. This area, where six Samsung Electronics semiconductor fabs will be constructed, is still largely covered with mountains, farmland, and factories. The Korea Land and Housing Corporation (LH) will begin site development this month to supply land for Samsung's factories. While efforts are underway to expedite the design and procurement processes, challenges remain, including road relocations, cultural heritage investigations, and the relocation of businesses and residents.
The Yongin National Industrial Complex will cover approximately 235 acres, housing six Samsung fabs, a power plant, and a cooperative complex. A total of 36 semiconductor production lines will be established across the six fabs. The site was selected as a candidate for the national industrial complex in March 2023 and received industrial complex planning approval in December 2024.
To build the factories, extensive civil engineering work is required to fill low-lying farmland with soil excavated from the mountains. The soil to be moved from the first section alone amounts to about 15 million cubic meters, which LH estimates will require approximately 2 million trips by 25-ton dump trucks.
To expedite the supply of fab land to Samsung, LH has streamlined the design and procurement process, reducing the typical duration from 21 months to about 11 months. Recently, a consortium led by Daewoo Engineering & Construction was selected as the construction management contractor for the first section.
The construction process will introduce a new method of accelerating project timelines, allowing the contractor to propose ways to shorten construction periods while settling any additional costs afterward. Daewoo's proposals are currently under review, and a detailed execution plan will be finalized later. If compensation and construction conditions are favorable, there is also consideration to supply some land ahead of the original schedule.
In addition to site development, road expansion and relocation are also critical tasks. National Route 45 will be widened from four lanes to six to eight lanes over a 12.53-kilometer stretch from Jangseori in Anseong to the Yongin area. This project, estimated at about 891.1 billion won, is a key infrastructure initiative to accommodate increased traffic due to the national industrial complex and nearby public housing developments.
However, the first bidding in August failed due to a lack of applicants for pre-qualification. Companies that were considering participation faced difficulties meeting the construction performance requirements, prompting the Public Procurement Service to extend the eligibility period for similar project experience from the last 10 years to 20 years. The new bidding announcement has a submission deadline in March next year, with a construction period of 1,800 days from the start date. The same expedited design and construction method will be applied to the road project, but procedures for selecting a contractor remain.
Cultural heritage investigations and the relocation of existing businesses and residents are also major challenges. There are a total of 27 cultural heritage sites that need to be investigated within the industrial complex area. Kim Seong-gul, head of LH's Yongin project team, stated, “Since September, we have begun preliminary work, including tree cutting, cultural heritage investigations, and the capture and relocation of legally protected species. These tasks must be completed before we can proceed with the main site development work.”
According to LH, compensation for about 99% of the private land has been completed. Yoon Gi-jong, head of the compensation and sales team at LH's Yongin office, noted, “There have been some initial negotiations that did not proceed due to price issues with certain landowners, but the re-evaluation and deposit procedures are ongoing. We are also discussing the requirements for securing temporary housing for residents and relocating factories and livestock facilities.”
Plans are also underway to support the relocation of businesses that need to move due to the industrial complex development. Of the 89 existing companies, 52 have expressed a desire to relocate, and a priority plan is in place to develop a business relocation site of approximately 150,000 square meters.
Following the visit to the Yongin National Industrial Complex, the Samsung Electronics Pyeongtaek campus was also visited, providing a glimpse of the semiconductor production base's future. Approximately 70,000 employees, including staff, partners, and construction workers, are currently working at this site, where construction of the P5 facility is also underway. The Pyeongtaek campus spans about 870,000 acres, making the entire Yongin National Industrial Complex approximately 2.7 times larger.
The government envisions developing Yongin into the world's largest semiconductor mega-cluster, linking it with Pyeongtaek, Hwaseong, Giheung, and Icheon. For Samsung to build the fabs and operate production facilities, not only must the land be supplied, but infrastructure such as roads must also be established. Matching the pace of site development and various infrastructure projects starting this month will remain a key challenge for the future of the project.
* This article has been translated by AI.
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