South Korea’s semiconductor exports to Taiwan and Vietnam saw a remarkable surge in 2024, reflecting a pivotal shift in global supply chains. According to the Ministry of Trade, Industry, and Energy, South Korea’s semiconductor exports hit an all-time high of USD 141.9 billion (NTD 4.67 trillion), surpassing the previous record of USD 129.2 billion in 2022, as reported by Taiwan News.
This surge highlights South Korea’s strategic efforts to diversify its trade amidst prolonged US-China trade tensions. Between January and November 2024, the share of South Korean chip exports to China dropped from 61.1% in 2020 to 51.7%, while Taiwan’s share soared from 6.4% to 14.5%.
The increase in exports to Taiwan is largely driven by advanced high-bandwidth memory (HBM) chips, supplied by SK Hynix to TSMC. These chips are integrated into Nvidia GPUs, which are vital for AI accelerators, emphasizing Taiwan’s critical role in global semiconductor production. Industry analysts view this as a strategic adaptation by South Korea to secure diverse trade partnerships and adapt to shifting market dynamics.
This growth underscores Taiwan’s increasing importance in the global semiconductor ecosystem and reflects South Korea’s commitment to maintaining its leadership in the evolving tech landscape.
