“Samsung will continue to balance its domestic and foreign investments to ensure optimal global production structure,” the company said.
Analysts said there could be practical benefits to having the new plant in relatively close proximity to other domestic chip plants as opposed to building one overseas. Some said building a new plant near Seoul makes it easier for the company to recruit local engineering talent as well.
“To some extent, this is also a response to the current government’s call for big corporations to invest domestically,” said Korea Investment Trust Management fund manager Baik Jae-yer.
The government has proposed a tax on excess profits at big corporations in an effort to prod them to spend more on investment, wages and dividends. (Reuters) [eap_ad_3]