🇰🇷South Korea’s proposed 2027 budget allocates KRW 21.3 trillion to semiconductors, physical AI, and AI data centers.

President Lee Jae-myung presented the budget proposal to South Korea’s National Assembly on November 2. The report places proposed total 2027 spending at KRW 820.9 trillion, approximately US$610.14 billion, an increase of 12.8%.

The KRW 21.3 trillion allocation covers semiconductors, physical AI, and AI data centers collectively and is described as almost twice the 2026 level. The source does not divide that amount among the three categories, so it cannot be treated as an exclusively data-center or semiconductor allocation.

A separate KRW 4.7 trillion is proposed for sovereign AI model development, with Lee describing world-leading performance as the objective rather than an achieved benchmark. The government also plans to train 2,000 specialists for semiconductor design and regional chip industries and expand AI education for students, job seekers, and employed workers.