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SK Group, South Korea’s second-largest conglomerate behind Samsung Group, announced on Thursday that it would invest 247 trillion won ($195.24 billion) over the next five years in the semiconductor, battery, and biopharmaceutical industries.

The conglomerate, whose core units include SK Hynix, SK Telecom, and SK On, stated that additional investment and talent acquisition are critical to open up new business prospects amid persisting anxiety about the economic downturn and geopolitical dangers.

Well over half of the investment will be aimed at semiconductors and materials.

Economic revival

In the plans, about 179 trillion won will be spent in South Korea to help revive the economy, according to SK Group. Their affiliates include the world’s second-largest memory chip producer, SK Hynix Inc.

The money will go into the company’s 120 trillion won chip manufacturing hub in Yongin, Gyeonggi Province, to boost chip production and other equipment and materials such as specialty gas and wafers.

The company said it would invest 67.4 trillion won in electric car batteries, hydrogen, and other renewable energy companies, including the expansion of battery separator manufacturing plants.

A move to fuel private-led economic growth

By 2030, SK hopes to cut carbon emissions by 200 million metric tons, or around 1% of the worldwide target of 21 billion tons.

It has also set aside 24.9 trillion won for initiatives, including the 5G network, and 12.7 trillion won for biopharmaceuticals.

SK is one of an exclusive group of chaebol businesses that have announced investment plans this week, presumably to aid President Yoon Suk-push yeol’s ambitions for private-led economic growth.

Yoon, who took office on May 10 for a five-year term, has promised to reduce excessive regulations and assist vital national critical sectors such as semiconductors, batteries, and biopharmaceuticals.

Also read: SK Telecom and Deutsche Telekom collaborate to bring metaverse to Europe.