The South Korean government is facing criticism for including individuals lacking semiconductor expertise on the committee overseeing the financial management of the $6 billion Honam semiconductor cluster project. Minister of Trade, Industry and Energy Kim Jeong-kwan stated that he would consider appointing additional experts in the relevant fields.
During a meeting of the National Assembly's Industry, Trade, and Small and Medium Enterprises Committee on November 9, Minister Kim addressed concerns regarding the composition of private sector members on the support committee for the integrated city of Gwangju and Jeonnam. He said, "We plan to strengthen the inclusion of relevant experts."
Representative Jo Ji-yeon of the ruling People Power Party raised issues about the qualifications of private sector members on the committee, which is under the Prime Minister's office. She pointed out that the committee includes a dessert cafe owner, a university president with an orthopedic background, and an expert in balanced growth policy, all of whom she argued lack direct relevance to the semiconductor cluster initiative.
Jo emphasized, "With $6 billion allocated for the Gwangju semiconductor cluster by 2030, it is inappropriate for the private sector members of the support committee to lack relevant expertise. The Ministry of Industry's role in budget planning, execution, and oversight appears to be absent."
The government plans to develop the southwestern region into a semiconductor production hub, linking financial incentives to the administrative integration of Jeonnam and Gwangju. A total of $6 billion is set to be allocated from 2027 to 2030, with the preliminary feasibility study for the project approved by the Cabinet on August 25.
The project funding will be executed following annual business plans established by the integrated city, subject to review and approval by the support committee under the Prime Minister's office.
Jo expressed concern that the Ministry of Industry's financial support, while the actual budget management is handled by a separate committee, could lead to unclear accountability. She noted that although Gwangju and Jeonnam had recommended experts in IT research and development, display technology, secondary batteries, and semiconductor packaging and testing, there was insufficient representation of semiconductor specialists on the committee.
In response, Minister Kim clarified that the private members in question were not recommended by the Ministry of Industry, stating, "We did not recommend them; the appointments were made by the Prime Minister's office," and he pledged to investigate the selection process for the committee members.
However, it was also noted that the support committee was not established solely to review semiconductor projects. Representative Jeong Jin-wook of the Democratic Party explained that the committee is responsible for overseeing not only the industrial development of the integrated city but also administrative, financial support, and overall regional development. Evaluating the appropriateness of all private members solely based on semiconductor expertise may be unreasonable.
Minister Kim added, "Since the establishment of the support committee, there has been a new demand for semiconductor-related expertise, and we are reviewing additional appointments."
* This article has been translated by AI.
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