Total investment of 3 trillion won planned through 2031, creating about 2,000 jobs

Construction at the Gwangju factory of global semiconductor packaging company Amkor Technology Korea [Newsis]
Construction at the Gwangju factory of global semiconductor packaging company Amkor Technology Korea [Newsis]

Amkor Technology Korea, a global semiconductor packaging company, plans to invest a total of 3 trillion won ($2.22 billion) in its Gwangju facility through 2031 to expand advanced packaging capacity for AI applications. The investment — significantly larger in both scale and job creation than originally planned — marks the first concrete step in the southwestern region's semiconductor mega-project.

Min Woo Lee, director general for industrial growth at the Ministry of Trade, Industry and Energy, attended a ground-breaking ceremony Monday at Amkor's Gwangju facility in Buk-gu and pledged active government support for the southwestern region's advanced semiconductor investment.

The ceremony was attended by Lee, South Jeolla Province and Gwangju Special City Mayor Min Hyeong-bae, Amkor executives, and representatives from global customers including TSMC and Nvidia.

Amkor plans to invest 3 trillion won and hire about 2,000 workers by 2031 — an increase of 2 trillion won in investment and roughly 1,000 additional jobs compared with its original plan. The new facilities will produce advanced packaging products for AI and high-performance computing (HPC) applications. The company aims to complete two buildings in the second half of 2027 and two more in the first half of 2028, with mass production beginning at each upon completion.

HPC refers to computing technology capable of rapidly processing large volumes of data and performing complex calculations, as used in AI data centers and supercomputers. Advanced packaging stacks and connects different chips to improve semiconductor performance and power efficiency. As circuit miniaturization approaches its physical limits, advanced packaging has become a key competitive factor in AI semiconductors, and the global packaging market is expanding rapidly.

Amkor, headquartered in the United States, posted sales of about 9 trillion won last year and operates more than 20 facilities across eight countries. Its Korean subsidiary, Amkor Korea, employs about 8,400 people across three sites — Songdo, Bupyeong and Gwangju — with annual sales exceeding 5 trillion won. The investment is particularly significant because the company chose to invest domestically despite competition from overseas production hubs.

"Today's ground-breaking is the first signal that semiconductor investment in the southwestern region is moving from plan to reality, and a decision made by a global company that believes in the future of South Korea and Gwangju," Lee said. "We will do our part to help the semiconductor ecosystem take root in the southwest." He added that the ministry would work closely with related ministries and local governments to monitor challenges companies face throughout the investment process and provide the necessary support.


oskymoon@heraldcorp.com