South Korea Finance Minister Sees Semiconductor Boom Continuing Through 2027
Lee said chip demand far exceeds supply despite expanding production capacity. He said semiconductor demand is boosting tax revenue and strengthening government finances, while the sector’s weight in South Korea amplifies stock-market volatility.
South Korean Finance Minister Lee Hyoung-il expects the semiconductor boom to last at least through 2027, as demand continues to substantially exceed supply despite expanding production capacity. Chip stocks, including Nvidia ($NVDA) and SK Hynix, fell sharply this week amid concerns about higher interest rates and increasing competition from China. A South Korean newspaper column cited experts who warned that rising chip production could lead to a memory supply glut by 2029. Lee said South Korea’s heavy reliance on semiconductors amplifies stock market volatility.
He added that robust chip demand is increasing tax revenue and strengthening government finances.