As the global race to develop next-generation semiconductor technologies accelerates, the United States and Japan are investing heavily in extreme ultraviolet (EUV) lithography equipment through public-private partnerships. In contrast, South Korea, constrained by limited budgets, is lagging in deploying cutting-edge tools, raising concerns that it may lose ground in the race for semiconductor supremacy.
According to South Korean tech news outlet ET News, the US National Semiconductor Technology Center (NSTC) has already installed EUV equipment at the Albany NanoTech Complex in New York. Starting in July 2025, the NSTC will provide EUV R&D services to industry partners. By 2026, it plans to introduce a state-of-the-art High-NA EUV system—valued at nearly KRW500 billion (approx. US$368 million)—to support even more advanced chipmaking research.
Founded in February 2024 with US$5 billion in US federal funding, the NSTC is structured as a collaborative research hub open to semiconductor manufacturers, materials suppliers, and equipment companies that join as members.
Japan is also pushing forward with EUV capabilities. The government is building a new R&D facility at the National Institute of Advanced Industrial Science and Technology (AIST), equipped with EUV tools and scheduled to begin operations by 2027. The goal is to bolster Japan's technological edge as it reasserts itself in the global chip sector.
South Korea's efforts stand in stark contrast
Despite announcing plans two years ago to establish a domestic equivalent of Belgium's IMEC—a world-renowned research center in advanced microelectronics—South Korea's initiative has since stalled. IMEC, supported by the Flemish regional government, operates independently and recently inked strategic partnerships with industry giants such as ASML to advance EUV innovation and push below the 2nm threshold.
While South Korea's Ministry of Trade, Industry and Energy (MOTIE) has partnered with SK Hynix to build a "mini fab" in Yongin, the facility is outfitted with older ArF immersion lithography systems, not EUV machines. ArF tools are still widely used, but lack the resolution necessary for sub-10nm chip architectures, precisely the gap EUV is designed to close.
Only a few companies worldwide—Samsung Electronics, SK Hynix, TSMC, Intel, and Micron—have invested in EUV lithography, due to its steep cost. Each EUV system, produced exclusively by ASML, can cost more than KRW200 billion, with annual maintenance expenses running as high as KRW30 billion.
For materials suppliers, component makers, and semiconductor equipment firms, access to EUV technology typically requires collaboration with institutions that already own the equipment. Without such access, many mid-sized and smaller companies find themselves locked out of the most advanced areas of chip research.
South Korea's mini fab project has an estimated equipment budget of just KRW300 billion, making it unrealistic to acquire EUV tools. This shortfall risks creating a two-tier semiconductor ecosystem, where only the largest corporations can compete in cutting-edge technologies, while smaller firms are left behind.
Industry experts warn that without bold investment in EUV infrastructure, South Korea may fall behind the US, Japan, and Europe in the race to define the next generation of semiconductor manufacturing. Calls are growing for the South Korean government to act decisively and ensure domestic firms have access to the tools required to remain globally competitive.
Article translated by Elaine Chen and edited by Jack Wu
