Korea's parts, materials sector setting milestoneUpdated: 2014-01-14 06:27:31 (KST)
This Korean semiconductor packaging company has recently found a way to make the world's thinnest chip.
"Normally companies produce one-milimeter-thick semiconductors, but we're able to produce them with a thickness of half of that. We are ahead of every other company."
Until around 10 years ago, Korean companies hardly reported any breakthrough in the manufacturing of parts and materials but it is a different story these days.
Now, Korea is the world's fifth-largest parts and materials exporting nation, closely following Japan.
"And with the domestic parts and materials sectors getting a boost recently, the trade surplus last year reached a record high of nearly 100 billion dollars."
That is nearly 40 times larger than the sector's trade surplus recorded in 2001.
Exports of parts and materials currently take up almost half the nation's overall exports.
Experts say the improving competitive edge of Korea's finished goods are also helping the parts and materials sectors.
"The rise in exports of products like television, mobile phones, automobiles and machinery have pushed up demand for key components of those goods."
The Seoul government is determined to make Korea the world's fourth-largest exporter of parts and materials by 2020, surpassing Japan and more than doubling the sector's trade surplus to 250 billion dollars.
While the nation has made a leap forward in manufacturing parts, it still lags behind in developing new materials.
"The problem is Korea is far behind Japan in the area of new materials while China is catching up fast in making parts."
To narrow the gap with Japan, the government has promised to pour 280 million dollars into the local industry every year until 2025.
Hwang Ji-hye, Arirang News.
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