Seoul
South Korean companies invested a record $61.1 billion (83.6 trillion won) in research and development (R&D) in 2024, a 15.3% increase from the previous year, according to the Ministry of Trade, Industry and Energy. The rise comes as firms seek to stay competitive amid growing global tech competition.
The figure includes the top 1,000 firms based on R&D spending. Of these, 709 companies increased their investment, while 291 reduced it. Samsung Electronics led all firms with 30.2 trillion won spent on R&D. Other top contributors were SK hynix (4.5 trillion won), Hyundai Motor (4.3 trillion won), and LG Electronics (3.4 trillion won).
Despite the record spending, South Korea still trails global rivals. Only 40 South Korean firms ranked among the world’s top 2,000 R&D spenders. In comparison, the U.S. had 681 firms, China 524, Japan 185, Germany 106, and Taiwan 55.
Je Kyung-hee from the ministry emphasized that South Korea must maintain this R&D growth to compete globally. The government plans to support companies by easing regulations, improving testing infrastructure, and offering financial help.
Meanwhile, South Korea’s information and communication technology (ICT) exports rose 9.6% in May compared to last year. The country exported $20.88 billion worth of ICT products, driven mainly by semiconductor sales, which grew 21.2% to $13.8 billion.
Other growing exports included computers and communications equipment (up 1.7%) and mobile phones (up 2.8%). However, display panel exports fell 17.5% due to tariff-related uncertainties in the U.S.