Leadership frames the project as strengthening the regional industrial base and promoting balanced growth over the mid to long term.

Construction is scheduled to start in April, with completion targeted by the end of next year, as part of broader efforts to expand regional capacity.

Market reaction noted briefly, with SK Hynix shares trading down about 2.3% around 732,000 won at the time of reporting.

The investment aligns with South Korea’s regional development goals, promoting balanced growth between metropolitan areas and provinces.

RTT News reported the development and provided comment contacts for follow-up.

The investment is expected to bolster Korea’s semiconductor ecosystem, create jobs, and strengthen its role in the global market.

Beyond jobs, the project could reshape regional supply chains and broader tech industry implications for Korea.

The project includes the P&T7 packaging facility and ties into SK Hynix’s M15X fab, aiming to create an integrated hub for AI memory within Cheongju’s Techno Valley.

SK Hynix plans a new advanced packaging and production complex in Cheongju, South Korea, investing about $12.9 billion to meet surging AI memory demand, with a focus on high-bandwidth memory (HBM).

Industry leaders, including Micron and SK Group, are signaling responses to ongoing memory supply constraints amid the AI data-center surge.

Global supply-chain considerations and onshore manufacturing trends frame the move, as SK Hynix seeks to compete with Samsung and Micron in a tightening market.

Geopolitical factors, including U.S. tariff pressures and U.S.-China tensions, are cited as a motivation to expand domestic packaging and final-assembly capacity in Korea.