In February of this year, semiconductor production in South Korea saw its most significant increase in the past 14 years, signaling a sustained recovery in the country’s most crucial industrial sector and global demand for technology, as reported by Bloomberg.

Production surged by 65.3% compared to the previous year, marking the highest growth since the end of 2009. Semiconductor shipments also increased by 59%, although this growth rate was slightly lower than January’s 62.7%.

Inventories decreased by 16.2%, dropping for the second consecutive month, indicating strong demand.

The rise in production is evidence of the continuation of the internal economic momentum, as semiconductors constitute the largest share of South Korea’s exports.

The growing demand for memory, particularly associated with artificial intelligence, stands as one of the major drivers.

SK Hynix, the second-largest chipmaker in the country, forecasts that the positive trend will persist, especially in supplies for Nvidia Corp.

Furthermore, overall industrial production increased by 4.8%, surpassing economists’ forecast of 4%. Pointing to the production growth, the Ministry of Finance noted that the recovery of economic momentum is becoming increasingly apparent.

The ministry pledged to swiftly implement budgetary expenditures in the first half of the year.

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