South Korean Finance Minister candidate Lee Hyun-il speaks during a confirmation hearing at the National Assembly in Seoul, South Korea, on September 15, 2026.
Kim Hong-ji | Reuters
South Korea’s Finance Minister Lee Hyung-il said Saturday that the semiconductor boom will continue until at least 2027.
“Right now, our view is that we can sustain this growth at least until next year,” Lee told CNBC on the sidelines of the IMF/World Bank annual meeting in Bangkok. “That’s because the gap between demand and supply for semiconductors remains very large, and supply is still expanding.”
His comments came after semiconductor stocks tumbled this week on investor concerns about rising interest rates and increased competition from Chinese companies. Here’s what Korean chip stocks look like SK Hynix Major US companies such as Seoul Semiconductor and Seoul Semiconductor also participated in the sale. Nvidia.
Lee said semiconductor stocks have increased the volatility in the Korean stock market this year. He pointed out that the market volatility is due to the fact that the semiconductor industry accounts for a larger share of the economy than in other countries. Despite market fluctuations, South Korea’s economy is “strong”, Lee said.
On Thursday, an op-ed column in South Korea’s prominent publication, the Mainichi Economic Newspaper, urged the country’s government to prepare for a slowdown in the coming artificial intelligence boom. The authors said two experts expect a “flood of new supply” of semiconductors that will turn the memory market into a “red ocean” by 2029, according to a CNBC translation.
South Korean semiconductors may be driving stock market volatility, but the industry is also driving tax increases. Lee said the country expects to collect more taxes this year than originally expected.
He added that South Korea will ultimately be in a stronger financial position thanks to the chip boom.
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