South Korea Finance Minister Expects Chip Boom to Run Through 2027

October 22, 2026 - 11:01

South Korea's Deputy Prime Minister and Minister of Finance and Economy Lee Hyoung-il said he expects the semiconductor upcycle to continue at least through 2027, offering an optimistic view on the sector that underpins much of the country's export economy.

In remarks to CNBC's Lisa Kim, Lee said the current strength in chip demand should be sustained for the next several years, though he was careful to note that conditions can shift without warning. "There are always uncertainties," he said, acknowledging that forecasts for the industry carry inherent risk.

South Korea is home to two of the world's largest memory chipmakers, and semiconductors account for a substantial share of the nation's outbound shipments. The sector has benefited from surging demand tied to artificial intelligence servers, data centers and high-bandwidth memory products, which has lifted earnings across the supply chain and supported broader economic growth.

Lee's projection places him among officials who believe the current cycle has room to run rather than nearing a peak. Still, his caveat reflects the volatility that has long defined the memory market, where prices can swing sharply on shifts in supply, inventory levels and global demand. Policymakers in Seoul have pointed to chips as a key pillar for sustaining momentum in exports, alongside efforts to diversify trade partners and strengthen advanced manufacturing at home.