Lutnick urges Samsung, SK hynix to build memory chip plants in U.S. - Korea JoongAng Daily

U.S. Commerce Secretary Howard Lutnick has urged Samsung Electronics and SK Hynix to build memory chip fabrication plants in the United States, following their announcement of a combined $532 billion ... Read original →

U.S. Commerce Secretary Lutnick’s push for Samsung and SK Hynix to build memory fabs in America reflects a geopolitical override of semiconductor globalization logic. Technically, advanced DRAM like HBM3E relies on Korea’s dense supplier ecosystem; forced relocation would degrade yields and delay AI supply chains. Compliance-wise, CHIPS Act mandates risk creating isolated U.S. tech enclaves—raising capex while exposing IP. Micron’s $250B pledge exploits this policy window, but Korean firms face eroded flexibility across Taiwan, China and Southeast Asia. Over the next 18 months, Washington may leverage export controls to extract symbolic U.S. investments in packaging or testing—but full-scale DRAM wafer production won’t relocate. The cost base and talent gap make it economically untenable.