Dutch chip equipment manufacturer ASML and tech giant Samsung Electronics have committed a formidable 1 trillion South Korean won ($760 million) investment to construct an advanced semiconductor manufacturing plant in South Korea.
The strategic announcement unfolded during South Korean President Yoon Sook-Yeol’s extensive four-day visit to the Netherlands, where the vision of forging a robust “semiconductor alliance” between the two nations materialized, as reported by CNBC. ASML, renowned as the world’s sole producer of ultraviolet lithography machines pivotal for crafting state-of-the-art chips, has played a crucial role in manufacturing cutting-edge chips, including those featured in the latest Apple iPhones crafted by Taiwan’s TSMC.
Notably, Samsung holds the prestigious title of the world’s largest producer of dynamic random-access memory (DRAM) chips, integral components in a plethora of consumer devices such as smartphones and computers. South Korean chip manufacturers heavily rely on ASML’s advanced machines to craft chips that outpace competitors in terms of speed and efficiency.
During Tuesday’s visit to ASML’s headquarters, President Yoon, accompanied by King Willem-Alexander of the Netherlands, delved into discussions and toured a production site dedicated to next-generation electric cars. Yoon emphasized that the visit aims to solidify a well-structured institutional framework between the two nations, intensifying collaborative efforts within the global semiconductor supply chains. This strategic move is particularly crucial as semiconductors evolve into strategic assets, and concerns about geopolitical risks associated with global supply chains continue to loom large.
