South Korea is investing 138.46bn won ($109mn) in a governmental research and development (R&D) project on compound power semiconductors.
The project has passed its preliminary feasibility study in July and will take place over 2024-28, the country's trade and industry ministry (Motie) said on 13 July. The government will contribute about W93.88bn of the total amount, aiming to boost South Korea's domestic competitiveness in compound power semiconductors. Such semiconductors are increasingly becoming a key component in future high-tech industries such as electric vehicles and renewable energy.
Compound semiconductors such as silicon carbide and gallium nitride also have higher heat resistance and power efficiency as compared with conventional silicon-based semiconductors, making them a better choice in certain power applications.
South Korea earlier this month said it expects a limited short-term impact from China's impending export controls on gallium and germanium. China's controls will include gallium and germanium metals, as well as their chemicals and compounds.
Exports of South Korean semiconductors continued to fall, with export value dropping by around 28pc from a year earlier to around $9bn in June, according to Motie. Semiconductor prices also continued to fall to $1.36/unit in June from $1.40/unit in May and $2.85/unit in late-2022 because of the sluggish industry.
