South Korean media analyzes data that the United States encircles China, and we in South Korea are t

Mondo Sports Updated on 2024-02-01

Original Tong Li Observer.com.

According to the "Korea Economy**" on January 30**, South Korea's semiconductor exports to China have fallen sharply due to the impact of U.S. export controls, but Japan's semiconductor exports have increased. Korean media experts pointed out that with the continuous improvement of China's semiconductor self-sufficiency rate, the South Korean semiconductor industry is likely to become the "biggest victim" of Sino-US competition, and it will have to be for a while.

According to the report, taking cutting-edge semiconductors as an example, some people pointed out that while seeking to minimize the damage through **, South Korean semiconductor and equipment companies must upgrade their technology and become "irreplaceable" enterprises.

The reason why the Korean media said this is related to the latest data from the Korean International ** Association. On the 29th, the "South Korean Economy**" analyzed China's imports of semiconductors and equipment from South Korea and Japan and found that China's imports of semiconductors from South Korea fell from 82.4 billion US dollars in 2018 to 66.2 billion US dollars in 2023, a decrease of 1963%。During the same period, China's semiconductor imports from Japan increased from US$15.8 billion to US$20.8 billion, an increase of 31.12%。

Compared with the previous year, China's imports of South Korean semiconductors in 2023 will drop by 2184%, but imports of Japanese semiconductors increased by 33%。Moreover, this difference is even more pronounced in semiconductor raw materials, components and equipment.

At the same time, China's total imports from South Korea also fell by 20.0 billion from $204.4 billion in 2018 to $162.5 billion in 202346%。Compared with the previous year, China's total imports from South Korea will decrease by 18 in 202379%, but imports from Japan fell by only 1299%。

South Korean media quoted analysis as saying that this phenomenon is because the South Korean semiconductor industry is "defenseless" against US export regulations, while the Japanese semiconductor industry has expanded its sales channels to a niche market with blind spots in regulations and has become an "irreplaceable" company through technological progress.

For example, China's increase in semiconductor imports from Japan is due to the increase in imports of automotive semiconductors, which are Japan's strengths, and automotive semiconductors are not subject to U.S. export restrictions. In fact, Renesas Electronics, the world's third-largest automotive semiconductor company, has announced plans to restart a previously closed factory for the first time in 10 years, thus doubling the volume.

According to the report, with the vigorous development of the automobile industry in recent years, China is accelerating the self-sufficiency rate of automotive semiconductors in preparation for the tightening of export controls by the United States, thereby increasing imports of Japanese automotive semiconductors. On the other hand, South Korean semiconductor companies such as Samsung Electronics and SK hynix have suffered a sharp decline in exports to China due to the impact of US export controls. Industry sources said that South Korean semiconductors have suffered a "double whammy" of U.S. regulations and the decline of the semiconductor industry.

South Korean media also pointed out that experts believe that South Korea will continue for some time to become the "biggest victim" of Sino-US competition. "South Korea has benefited relatively more from exports to the United States than Japan due to the competition between China and the United States, but at the same time, South Korea has also suffered more losses. ”

It is worth noting that Yonhap News Agency pointed out that South Korea's ** revenue and expenditure with China.

This is the second time since 1992, when there was a $1 billion deficit in the first year of diplomatic relations with China, and the pattern of China**, which was once the backbone of South Korea's economy, has changed dramatically.

In December last year, South Korea's "East Asia**" reported with the title of "The United States suppresses China, South Korea is crumbling", saying that after the United States escalates its containment measures against China, the business environment of South Korean semiconductor equipment, raw materials, and parts companies has also become difficult, and they have become the first to bear the brunt. The future prospects of South Korea's semiconductor industry will inevitably depend on the "face" of the U.S. policy toward China.

Not only that, South Korea's "** released at the end of last year the results of the analysis of semiconductor patents applied by the world's five major intellectual property offices (IP5) such as South Korea, the United States, China, Japan, and the European Union, and found that in the past 20 years, the share of semiconductor patents filed by China in IP5 has soared from 14% in 2003 to 71 in 20227%。At the same time, among the global semiconductor technology patents, the proportion of patents registered in China and the United States has increased from 456% soared to 929%。

Korean media believe that as the competition for semiconductor leadership becomes more and more fierce, "the phenomenon of core technology concentration in China and the United States is becoming more and more obvious." On the other hand, the sharp decline in semiconductor patents in South Korea and its lack of attractiveness as a patent registration place are cause for concern.

The proportion of IP5 patents in each country Screenshot from **

Note: South Korea (blue), United States (orange), China (brown), Japan (gray), European Union (dark gray).

*|Observer.com.

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