A legal framework to support the semiconductor industry has been put in place. The Ministry of Trade, Industry and Energy said on Monday that a draft enforcement decree for the Special Act on Strengthening and Supporting Semiconductor Industry Competitiveness was approved at a cabinet meeting. The decree details matters delegated under the semiconductor special act enacted on Feb. 10 this year, including rules on the composition of a special committee, procedures for designating clusters, support for workforce training and the operation of a special account. The law and the enforcement decree take effect on Aug. 11.

The decree sets out the composition and operating rules for the Semiconductor Industry Competitiveness Strengthening Special Committee, chaired by the president. The committee includes, as ex officio members, minister-level officials from relevant ministries such as the Ministry of Trade, Industry and Energy, the Ministry of Finance and Economy and the Ministry of Science and ICT. It also includes appointed semiconductor experts from industry, academia and research institutions. The committee reviews key policies, including the basic and implementation plans for semiconductors.

Applicants seeking designation as a semiconductor cluster must submit a development plan that includes basic goals and development direction, the name, location and area, the status of the local semiconductor industry and infrastructure, and plans for workforce training and building research foundations. The decree specifies that areas outside the greater Seoul area should be given priority consideration to link the effort to balanced national development. For the creation and operation of industrial infrastructure within clusters, the state and local governments may cover at least 50 percent of total project costs, and facilities for redundancy and supply chain stability can receive full support.

In the workforce area, the decree allows priority support for job placement links and retraining between non-capital-area semiconductor companies and regional specialised personnel. It also sets out the standards and procedures for designating institutions that train specialised semiconductor personnel. The decree also codifies procedures for establishing basic and implementation plans, the scope of semiconductor industry statistics, the establishment and operation of a special account, and the outsourcing of work.

Minister Kim Jeong-gwan (김정관) said, "With the legal foundation now in place for a national support system for the semiconductor industry, we will work closely with relevant ministries to swiftly 추진해 나가겠다".