Samsung Electronics has announced ambitious long term plans to expand its operation in South Korea. The company is set to invest around $230 billion in new fabrication facilities, with five locations marked for development in Yongin, a city located within the Seoul Capital Area. The five new factories with mixed foundry and memory manufacturing purposes, will form part of the South Korean government's intentions to assemble a mega semiconductor hub in the region.

South Korea's Ministry of Trade, Industry and Energy (MOTIE) on Wednesday revealed its intent to invest $422 billion by 2026 to boost production of six core technologies: semiconductors, electric vehicle batteries, autonomous vehicles, robots and displays. The government provided a breakdown of the total budget, and $260 billion has been allocated for the country's chip space to develop system semiconductors into the year 2026.It appears that the country is strengthening its domestic semiconductor production line in order safeguard internal supply chains and to stay competitive with similar efforts around the globe. Other countries such as China, Taiwan, Japan, and the U.S. are boosting domestic chip manufacturing in efforts to mitigate recent fluctuations in global supply chains. The after effects of the pandemic, and rising tensions between political giants have been cited as key problems faced by international electronics manufacturers.The South Korean government's statement outlines ambitions to foster high-tech industries in the proposed mega hub region. It seeks to attract corporations by offering expanded tax breaks in the native advanced technology space. Samsung has been expanding it foreign operations, most notably with an in-progress North American semiconductor fabrication facility located in Taylor, Texas. Will the South Korean Government's latest domestic plan have any impact on the tech giant's plan to secure strategic positions around the world? It seems that Samsung has an ample budget and plenty of time to make its own choices, but local government incentives could result in a slowdown of overseas efforts in the long term.