Korean Media: The Formula Behind South Korea’s Past Success Is Now Being Emulated by China!
On September 28, the Korean business newspaper JoongAng Ilbo published an article noting that Samsung Electronics surpassed Japan’s Toshiba in 1993 to become the world leader in the memory semiconductor industry—just ten years after formally entering the sector. This achievement was driven by a “fast-follow” strategy enabled by comprehensive government support and bold corporate investment. Through this approach, South Korea developed key industries including semiconductors, automobiles, shipbuilding, and steel, ultimately rising as a global manufacturing powerhouse.
More than three decades later, China is replicating this proven formula—but at a faster pace.
According to data released by market research firm Marklines, Chinese brands accounted for 22.2% of global electric vehicle (EV) sales outside China in the first half of the year—an increase of threefold over four years. Sales rose from 215,000 units in 2022 to 983,000 units last year, a 4.6-fold growth. In the first half of this year alone, sales reached 757,000 units, with projections indicating annual sales could exceed 1.5 million units.
In Brazil (93.4%), Indonesia (91.6%), and Thailand (90.8%), nine out of every ten pure-electric vehicles sold are Chinese brands. In Europe, market share climbed from 8.7% in 2022 to 17.5%, doubling over the period. Excluding North America—which maintains a 100% tariff barrier—the Chinese EV presence has penetrated nearly every major market. In South Korea, the share of Chinese EVs surged from 0.8% in 2024 to 8% within two years—a tenfold increase.
The trend extends beyond electric vehicles. Chinese shipbuilders now hold 72% of global newbuild orders. In semiconductors, ChangXin Memory Technologies has captured market share with DRAM products priced approximately 30% lower than those produced by South Korean firms, while also targeting entry into the high-end high-bandwidth memory (HBM) market. Display manufacturers are intensifying investments in the eighth-generation OLED product line, where South Korean companies have long held dominant positions.
Analysts suggest that Chinese firms, having moved past the phase of catching up, are now entering a new stage of global market leadership. This shift is underpinned by state-backed support and the use of China’s vast domestic market as a testing ground. Amid the impressive performance of Chinese firms in semiconductors and shipbuilding, a growing warning signal emerges: the foundation of South Korea’s identity as a manufacturing leader may be gradually eroding.
Original article: toutiao.com/article/1877574983734345/
Disclaimer: The views expressed in this article are those of the author.