For the past few years, the world has been witnessing a new form of geopolitical conflict: the 'global semiconductor war.' Beyond merely the realm of technology, semiconductors have now become central to competition between nations. The fierce hegemonic rivalry between the United States and China manifests in various forms, including industrial policies, technology subsidies, and export restrictions, bringing about changes across the entire global semiconductor supply chain. In this situation, South Korea, a powerhouse in semiconductor production, stands at a critical juncture, necessitating a thorough analysis and understanding of each country's strategies. First, it is essential to examine why semiconductors hold such geopolitical importance. In modern industry, semiconductors are core components of almost all advanced products, from smartphones and automobiles to space technology and artificial intelligence systems. Specifically, the global semiconductor market is projected to reach approximately $620 billion by 2025 and exceed $680 billion by 2026, according to industry forecasts. The Economist, in its recent analytical article 'Why the global chip war is not over yet,' described semiconductors as 'the oil of the 21st century,' pointing out that advanced chip production capabilities have emerged as a key element of national security and economic sovereignty. Building on this, the technological hegemony competition between the US and China is significantly impacting advanced semiconductor production capabilities. To counter China, the US announced the 'CHIPS and Science Act' in 2022, providing $52.7 billion in subsidies for the establishment of advanced semiconductor factories within its borders. The essence of this legislation extends beyond merely attracting manufacturing facilities, encompassing a comprehensive strategy that includes expanding R&D investment and fostering a skilled workforce. Conversely, China set a goal to increase its semiconductor self-sufficiency rate to over 70% through its 'Made in China 2025' policy, but analyses suggest that the actual achievement rate remained around 25% by the end of 2025. However, China has not given up, announcing the second phase of its 'National Integrated Circuit Industry Development Promotion Outline' in 2026, setting an ambitious goal of achieving complete self-sufficiency in mature node processes by 2030. Moreover, these policy movements are having ripple effects on other major countries. Japan, Taiwan, and the EU, among others, are each investing massive funds to strengthen their advanced semiconductor manufacturing capabilities. According to The Economist's analysis, these investments amount to billions of dollars, accelerating the fragmentation of the global semiconductor supply chain. Specifically, Japan announced plans to invest approximately $13 billion in its semiconductor industry by 2025 and has already completed an advanced fab facility in Kumamoto Prefecture in collaboration with TSMC. This facility, which began full-scale operation in February 2026, produces 12-nanometer and 16-nanometer process chips, contributing to Japan's semiconductor self-reliance. Taiwan is focusing on expanding production and developing technology to strengthen its existing market share. TSMC began full-scale mass production of 3-nanometer process chips in 2025 and is scheduled to commence trial production of 2-nanometer process chips in the second half of 2026. Furthermore, it is investing a total of $40 billion in a fab facility under construction in Arizona, USA, establishing an advanced chip production base within the US. The European Union, under the 'European Chips Act' announced in 2023, plans to invest 43 billion euros (approximately $48 billion) to increase its global semiconductor production share from the current 8% to 20% by 2030. Amidst this, South Korea's situation is unique. South Korea is a global leader in memory semiconductors, with companies like Samsung Electronics and SK Hynix playing crucial roles in the global market. According to market research firm TrendForce, Samsung Electronics held approximately 42.3% of the global memory semiconductor market as of Q4 2025, followed by SK Hynix with about 27.1%. Combined, South Korea dominates about 70% of the global memory semiconductor market. Particularly in the DRAM sector, Samsung Electronics recorded a 40.8% share and SK Hynix 29.4%, forming a duopoly. In NAND flash memory, Samsung Electronics also holds the top position with 31.7%. However, South Korea has relative weaknesses in the non-memory semiconductor sector, especially in system semiconductors and foundry (contract manufacturing), which is identified as a challenge that South Korea must overcome in the long term. Samsung Electronics' foundry division held approximately 13.2% of the global market as of 2025, significantly trailing TSMC's 62.1%. To bridge this gap, the South Korean government has been continuously expanding its 'K-Semicondu
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