South Korea has taken steps to heavily invest in chip production to counter Trump.

The South Korean government has announced an increase in its support package for the semiconductor industry to 33 trillion won. This is approximately a quarter more than last year. Such measures are being taken amid political uncertainty with the U.S. administration and increasing competition from Chinese companies. Additionally, the program for financial support for chip manufacturers will also be increased to 20 trillion won. South Korea is actively working in the semiconductor industry and has global leaders like Samsung Electronics and SK Hynix.

The support measures are also linked to the U.S. announcement of tariffs on imported semiconductors. President Trump stated that the tariffs would be implemented next week and they would be flexible for some companies. Last week, South Korea also announced emergency support measures for its automotive sector in connection with the U.S. tariffs on cars. The government is also committed to making efforts for negotiations with the U.S. and assisting in expanding markets.

These new decisions by South Korea to support its semiconductor industry and automotive sector reflect their confidence in the importance of these industries and their desire to protect them from competition from the U.S. and China.