Lee Jae Myung Orders Gwangju Air Base Relocation for Chip Hub

President Lee Jae Myung ordered the Ministry of National Defense to relocate military operations from Gwangju Air Base to other airfields by mid-2028. The directive, issued during a public-private review on August 10, aims to clear land for a new semiconductor industrial complex in the southwestern Honam region. Lee urged a "blitzkrieg" approach to development to avoid bureaucratic delays, citing the rapid construction of TSMC plants in Japan as a benchmark.

To support this and other megaprojects, the government is launching a 5 trillion won semiconductor fund focused on fabless companies and firms specializing in materials, parts, and equipment. Presidential Chief of Staff Kang Hoon-sik also announced 5 trillion won in trade finance for suppliers and a 1 trillion won cooperation program between large corporations and smaller firms. These measures are part of a broader initiative involving expected investments of over $576 billion from Samsung Electronics, SK Hynix, and local governments.

The administration is seeking the passage of a Mega Special Zone Act and plans to streamline environmental and permit procedures by the end of the year. Beyond Gwangju, the strategy designates the Chungcheong region as a packaging hub with 246 trillion won in investments and the Yeongnam region as a physical AI center with 107 trillion won in investments. While the government has committed to providing essential power and water infrastructure, it remains undecided on whether to grant exceptions to the 52-hour workweek limit for these projects.