An engineer walks inside a laboratory of Taiwan Semiconductor Research Institute at a Science park in Hsinchu county, Taiwan. Photo by RITCHIE B. TONGO/ EPA
July 27 (Asia Today) -- Growing artificial intelligence demand and stronger trade barriers are rapidly reshaping the production and supply chains of South Korea's major manufacturing industries, the Bank of Korea said Monday.
The central bank said Taiwan has become South Korea's second-largest semiconductor export destination as the AI supply chain draws Korean memory-chip producers closer to Taiwanese manufacturers.
Meanwhile, South Korean automakers are increasing production in the United States and expanding hybrid vehicle exports as tariffs and U.S. industrial policies make direct exports less competitive.
The findings were included in the Bank of Korea's Map of Production and Supply Chains for South Korea's Major Manufacturing Industries. The report used data from 2024 and 2025 to examine 11 industries, including semiconductors, automobiles, steel, shipbuilding and petrochemicals.
