On Tuesday, Samsung announced that it would invest $356 billion in core businesses including chip making and biopharmaceuticals, in the next five years. This is likely to create tens of thousands of jobs, although they will be available mainly in South Korea, as it will get the bulk of the investments. A few days ago, President Biden had visited a semiconductor factory during his visit to South Korea.
The South Korean conglomerate announced an investment of 450 trillion Korean won which is roughly about $356 billion through 2026. Most of the investments would be made in its core businesses including chip making and biopharmaceuticals. This is a 30 percent increase in spending when compared with its previous five-year period.
The manufacturing conglomerate also said that 360 trillion won which is roughly $285 billion would be invested in South Korea. It did not mention the investments in other locations, as yet. Samsung has research centers worldwide, in countries such as the U.K., the U.S., Canada and the Philippines.
The group that is mostly recognized for its smart phones, electronic goods and accessories will create tens of thousands of new jobs in S. Korea. The company said that it would create 80,000 jobs in the next five years. Although it is a market leader in electronic goods, it is increasing its investments in manufacturing components.
Samsung plans to increase its investments in the semiconductor industry. Manufacturers around the world suffered from shortages of such components. The conglomerate also said that it would focus on increasing its production of memory chips as it has proved to be a moneymaker for Samsung.
The recent pandemic and the zero Covid policy in China has slowed down manufacturing. The Ukraine war has added economic woes to the entire world. Supply chain issues are still present and an increase in manufacture of essential components that are used in several industries will increase the profits of not only Samsung but any other company that ramps up manufacturing essentials that are in short supply.
