The Democratic Party of Korea (DP) pushed back today (June 25) against criticism from the People Power Party (PPP) regarding rumors of semiconductor cluster investments by Samsung Electronics and SK Hynix in the Gwangju and Jeonnam regions, accusing the ruling party of "stoking regional conflict."

Rep. Ahn Do-geul, the party's deputy floor leader whose constituency is Gwangju Dong-gu/Nam-gu B, stated at the National Assembly's policy coordination meeting today, "The People Power Party is turning even the voluntary and proactive investment decisions made for the future of companies into a subject of political strife, focusing on groundless criticism and the promotion of regional conflict."

Rep. Ahn emphasized, "The People Power Party is distorting the facts by claiming this investment is a form of political engineering for elections or state-controlled economics," adding that "(this investment) is the result of economic judgment, not political considerations."

He went on to explain the background behind why the Gwangju-Jeonnam region is being considered for investment, stating, "It is likely because the region possesses the locational competitiveness that companies prioritize most, such as the ability to provide stable power supply essential for advanced semiconductor processes, abundant industrial water, vast industrial land, and future scalability."

He urged the People Power Party to engage in bipartisan cooperation for the development of the semiconductor industry, saying, "Investment plans worth hundreds of trillions of won are decided based on a company's thorough business feasibility analysis and future profitability reviews. It is by no means an issue that the government can force or sway."

Meanwhile, Rep. Kim Eui-kyeom, whose constituency is in Jeonbuk, wrote on Facebook, "I send enthusiastic applause for the semiconductor investment in Honam," while also arguing, "To ensure the side effects of 'all-in on Yongin' do not lead to 'all-in on Gwangju,' it is necessary to distribute the facilities."

He quoted a post expressing concerns about the side effects of concentrating facilities in one region, stating, "It is not that I am jealous because a cousin bought a rice paddy."

The post included arguments for the distributed placement of semiconductor clusters within the Honam region, stating, "If all facilities are concentrated in one region, the burden on infrastructure such as power, water, and gas will exceed critical thresholds, and in the event of an unexpected natural disaster or accident, it could lead to the fatal consequence of paralyzing the entire national semiconductor industry."

The post also suggested a plan to place one company in Jeonbuk and the other in the Jeonnam-Gwangju area.

(Photo: Yonhap News)