Lee Holds Private Dinner With Samsung’s Jay Y. Lee, Discusses Chip Fabs and US Investment
Summary
- President Lee Jae-myung held a private dinner with Samsung Electronics Chairman Jay Y. Lee and is believed to have discussed pending issues including the three mega-projects, semiconductor fab construction and investment in the US.
- The government also appears to have discussed support measures with companies, including infrastructure expansion, improvements to licensing and permitting regulations, and easing labor-related regulations, in an effort to speed up large-scale investment.
- Business groups say how quickly the government resolves bottlenecks to large private-sector investment will determine the success of the three mega-projects.
Forecast Trend Report by Period
Also exchanged views on expanding investment in the US
President Lee Jae-myung held a private dinner with Samsung Electronics Chairman Jay Y. Lee on Aug. 26, the latest in a series of meetings with the heads of South Korea’s biggest business groups. The dinner followed Lee’s Aug. 20 meeting with SK Group Chairman Chey Tae-won and appears aimed at gathering corporate views on domestic and global economic issues, including the government’s three mega-projects and investment in the US.
According to political sources, the two met over dinner at an undisclosed location in Seoul. They are believed to have reviewed issues related to the three mega-projects, including semiconductor fab construction in Yongin, Gyeonggi Province, and Gwangju, South Jeolla Province.
Lee has stressed the need to accelerate large-scale investment. The dinner may also have covered corporate concerns over infrastructure expansion, licensing and permitting rules, and possible government support measures. Labor regulations were also likely on the agenda. In talks over a special law on mega-special zones, key sticking points have included exempting research and development workers from South Korea’s 52-hour workweek cap and limiting the scope of labor disputes under the Trade Union Act. With labor groups strongly opposed to both issues, the government and Samsung may have exchanged views on them.
The dinner also likely touched on investment in the US, where negotiations are in their final stages. As President Donald Trump’s administration steps up pressure on South Korean companies to increase US investment, the two are believed to have discussed Samsung Electronics’ existing US investments and its future plans.
Since taking office, Lee has met with the heads of major business groups to discuss key economic issues. This latest series of meetings also appears intended to gather business input on industrial policy, investment, employment and regulation and reflect it in policymaking. Business groups say the success of the three mega-projects will hinge on how quickly the government removes bottlenecks to large private-sector investment.
Kim Hyung-kyu and Han Jae-young, Hankyung reporters khk@hankyung.com
Korea Economic Daily
hankyung@bloomingbit.ioThe Korea Economic Daily Global is a digital media where latest news on Korean companies, industries, and financial markets.