Lee calls Honam semiconductor investment 'a drop in the bucket' compared to historical gap

President Lee Jae Myung again expressed gratitude Tuesday for Samsung Electronics and SK hynix's planned 800 trillion won ($519 billion) investment in a semiconductor cluster in the Honam region, pledging that "the South Korean government will actively provide its full backing."

Speaking at a combined Cabinet meeting and emergency economic review session he chaired at Cheong Wa Dae, Lee called on the political establishment to cooperate with the initiative. "I ask for the broad-minded cooperation of the political community — please join forces with the companies that have taken up this challenge and with the government's efforts," he said. The remarks were aimed at pushing back against opposition claims that the government had coerced companies into the large-scale Honam investment.

Addressing concerns that the investment could fuel a sense of relative deprivation in the Yeongnam region, Lee noted that Yeongnam has a population of 13 million compared with 5 million in Honam. "It is an undeniable fact that there has been discrimination between Yeongnam and Honam," he said. "Honam has long suffered through exclusion and discrimination, and this is now an opportunity to turn that hardship into a blessing."

He also pushed back on worries about shortages of electricity and water, saying the region's long exclusion from development had left its power, water and land resources comparatively well managed. "It is true that investment in the Honam region is somewhat higher," he acknowledged, "but I ask everyone to understand that when you compare the cumulative investment over history, it is truly a drop in the bucket."

Lee also praised Prime Minister Kim Min-seok, who is expected to resign soon to run for the leadership of the Democratic Party of Korea. "Our Prime Minister Kim has worked so hard," Lee said. "You have been a great help to state affairs and have done an outstanding job of overall coordination."

Kim responded in kind. "It was a true honor to serve alongside the president and Cabinet members during the first year of a government created by the people," he said. "Many challenges remain — improving the lives of young people and other issues the government must address — and I will continue working on them when I return to the National Assembly and the party."

Kim added: "In 20 years it will be the centenary of liberation. I am convinced that, for the first time in 5,000 years of history, an era is opening in which South Korea can lead the world. I know very well that you, Mr. President, share that dream and conviction."

The Cabinet meeting also produced a surprise idea to stimulate private consumption. Lee said that while household spending had shown signs of recovery in the first quarter, "additional and varied measures to boost consumption will be needed to accelerate the trend further." He directed officials to explore converting credit card reward points accumulated through card payments or membership sign-ups into local currency vouchers.

Lee also announced that he would begin a series of regional public briefings on the government's three major mega-projects, starting with the Honam region Tuesday.

Cheong Wa Dae chief spokesperson Kang Yu-jung said Lee would hold three regional public briefings focused on key growth hubs, following the national mega-project briefing he chaired at Cheong Wa Dae on Monday.

The first event, a public briefing on the vision for advanced industry development in the southwestern region, was held in Gwangju on Tuesday afternoon and was attended by representatives from Samsung Electronics, SK hynix and Amkor Technology Korea.

On Thursday, a similar briefing on the Chungcheong region's advanced industry vision will be held in Asan, South Chungcheong Province, with Samsung Electronics, SK hynix and Celltrion among the participants. The following day, Friday, a Yeongnam region briefing is scheduled in Jinju, South Gyeongsang Province, with Samsung Electronics, SK Telecom, Hyundai Motor and Hanwha set to take part.