Japan and South Korea have announced a historic partnership to develop advanced semiconductor manufacturing capabilities, aiming to reduce dependency on single-source suppliers and strengthen regional technological leadership.
The alliance, unveiled during a summit between Prime Minister Tanaka and President Kim, commits $75 billion over five years to joint research facilities, manufacturing plants, and workforce development programs. The initiative responds to growing concerns about supply chain vulnerabilities exposed during recent chip shortages.
“This partnership represents more than economic cooperation—it’s about ensuring technological sovereignty for our region,” said Japanese Trade Minister Hiroshi Yamamoto. “By combining our strengths, we can compete with any semiconductor producer globally.”
The joint venture will focus on next-generation chip technologies, including 2-nanometer process nodes and advanced packaging techniques. Both nations will establish complementary specializations, with Japan concentrating on materials and equipment while South Korea leads in manufacturing processes.
Industry analysts view the partnership as a significant shift in the global semiconductor landscape, potentially challenging established players. The collaboration also includes provisions for technology sharing with trusted allies and building resilient supply networks across Asia.