Blue House says S. Korea dominates global DRAM market with 72.4% share

Posted on : 2019-08-13 17:17 KST Modified on : 2019-10-19 20:29 KST
Statement by Kim Hyun-chong says 2-month halt in supplies would damage global economy
Kim Hyun-chong
Kim Hyun-chong

On Aug. 12, Kim Hyun-chong, second deputy chief of the Blue House’s National Security Office, noted that South Korea dominates the global market in dynamic random-access memory (DRAM) semiconductors, with a 72.4% share, and that “a two-month halt in the supply of DRAM would disrupt the global production of 230 million smartphones.” Kim’s remarks imply that Japan wouldn’t be so rash as to impose export controls that would harm the global economy.

The Blue House official didn’t seem too worried about Japan’s recent decision to remove South Korea from its white list of countries that enjoy expedited screening on the exports of 1,194 strategic materials, remarking that “only a handful” of the items in question will have a “real impact” on South Korea.

“There are several reasons why President Moon said we can beat Japan,” Kim said during an interview with TBS radio on Monday. “When we examined the 1,194 strategic materials [removed from fast-track screening], only a handful of them will have a real impact.”

“There are also many areas in which Japan depends upon us. South Korea has a 72.4% market share of DRAM, for example. A two-month halt in the supply of DRAM would disrupt the global production of 230 million smartphones. So we have some cards in our hand, too,” Kim said.

Kim also argued that South Korea should take this opportunity to reduce its dependence on Japan in the area of security. “We don’t have a single reconnaissance satellite, while China has more than 30 and Japan has eight. If we’re too dependent on foreign powers, a problem similar to the [controls on exports of] parts and materials might happen in the area of security as well,” he said.

“Our best move at this juncture is to catch up with or overtake Japan in the areas of parts and materials, consumer electronics, and technology for the Fourth Industrial Revolution,” Kim said. That could be achieved, he suggested, through the efficient use of subsidies for domestic research and development and through mergers and acquisitions with foreign companies with cutting-edge technology.

Emphasizes S. Korea did not for US meditation, saying, “We’d be given a bill”

Kim was quick to dismiss speculation that he asked the US to mediate in South Korea’s spat with Japan when he visited the US in the middle of July. “We wouldn’t ask for mediation. If we did, we’d obviously be given a bill or be expected to do something in return. The moment you ask for help, you’re treated like a global doormat,” he said.

By Seong Yeon-cheol, staff reporter

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