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SK Group Chairman Chey Tae-won said on October 9, 2026, that the company would build the proposed southwestern semiconductor cluster as quickly as possible once conditions are met. He did not announce a construction start date. The project remains dependent on site and infrastructure preparations, so the pledge signals urgency rather than a confirmed groundbreaking.
Where the proposed cluster would be built
The proposal is for the Jeonnam-Gwangju region, with Gwangju Air Base identified as the selected site. Samsung Electronics and SK hynix had each outlined plans earlier in 2026 for two memory-chip fabs in the region, according to the October 9 report.
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Chey described the southwestern cluster as around two-thirds the size of the cluster under construction in Yongin. The report did not specify whether that comparison refers to land area, investment, capacity, or another measure, so it should not be treated as a comparison of fab output or project cost. Yonhap
When construction could start
The October 9 pledge did not set a start date or define all the conditions that must be met. A Seoul Economic Daily report dated October 1, as summarized in the October 9 coverage, described military air-base relocation as a prerequisite for the industrial complex. President Lee Jae-myung had reportedly asked officials on September 29 to accelerate relocation work after questioning a Defense Ministry timetable that put temporary relocation completion in mid-2028. Seoul Economic Daily
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The earlier reported schedule is a planning target, not a confirmed construction commitment:
| Milestone | Reported target | Status |
|---|---|---|
| Permits, design and some site preparation | By 2027 | Planning target reported October 1; not a completed milestone |
| Fab construction begins | 2028 | Target reported October 1; start date remains unsettled |
| Initial mass production | 2030 | Target reported October 1; not guaranteed |
The October 1 account described a broader candidate area of about 8.2 square kilometers, including the air base, land associated with a planned ammunition-depot relocation, and surrounding land. Korea Land & Housing Corporation planned to prepare about 2.1 square kilometers first and supply land in stages. These figures describe reported planning, not land already cleared and ready for construction. Seoul Economic Daily
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Utilities remain a major planning task
Seoul Economic Daily estimated electricity demand for four fabs at 3.1 gigawatts in the first phase and 6.3 gigawatts eventually. The same report said the government, local authorities, Korea Electric Power Corp., Samsung Electronics and SK hynix were working on transmission-network plans, while water supply was expected to expand in stages alongside construction and operations. Those plans do not establish that the required power and water are already available at the site. Seoul Economic Daily
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The October 1 coverage also described company inspections of site and infrastructure conditions and discussions between local government and the chipmakers about fab locations and construction schedules. A concern about a possible delay to SK hynix investment was not confirmed as fact by the local mayor in that account.
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Do not confuse the proposal with SK hynix’s Yongin investment
SK hynix announced additional investment for its first Yongin fab on February 25, 2026. The company reported 21.6 trillion won in additional facility investment through December 2030 and roughly 31 trillion won in total first-fab construction investment, including a prior 9.4 trillion won announcement. SK hynix said the calculation excluded equipment-installation costs. These are Yongin figures; no corresponding investment budget for the proposed southwestern cluster is established by them. SK hynix newsroom
Independent reader supportYour contribution helps us test, update, and keep practical guides available for everyone.Why the expansion matters—and what remains uncertain
Reuters has reported that South Korea’s broader chip expansion is driven partly by AI-related demand for high-bandwidth memory and other chips. It has also described memory-industry boom-and-bust risks, including analyst concerns that investment could outpace demand and contribute to oversupply. That context helps explain the push for new capacity, but it does not establish the economics or final investment decision for the Gwangju-area proposal. Reuters
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The key distinction is between an acceleration pledge and project readiness: Chey promised speed once conditions are met, while relocation, staged land preparation, permitting, construction and utility work remain relevant to whether and when the reported schedule can proceed.
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