AUSTIN — During his visit to Washington, D.C., last week, South Korean President Yoon Suk Yeol may have sung “American Pie,” but Texas leaders including those in Taylor and Williamson County are humming a different tune about new business opportunities with the country.
After recently visiting South Korea and returning home, Williamson County Judge Bill Gravell and others have inked a first-of-its-kind partnership agreement with a South Korean agency to lure more businesses from Asia to Texas, in part spurred by the construction of a Samsung Austin Semiconductor factory on Taylor’s border.
The agreement includes a working relationship with KOTRA, the Korea Trade Investment Promotion agency. With a location opening in Austin, the South Korean government’s nonprofit will help local businesses expand globally.
KOTRA will be housed in the WeWork building, one block away from the State Capitol.
On April 27, KOTRA President/CEO Yu Jeong-Yeol held an opening ceremony of the Korea Semiconductor (Austin) Global Partnering Center in Austin flanked by more than 40 major figures from the Lone Star State including Gravell, Taylor Mayor Brandt Rydell, CEO of the Taylor Economic Development Corp. Mark Thomas and Adriana Cruz, executive director of Texas Economic Development & Tourism.
“I believe we are building an ecosystem that can change the world, right here from Williamson County,” Gravell said, adding the economic boost over time will “easily exceed a quarter of a trillion dollars.”
The already existing deal with Samsung is worth $17 billion, a figure that is expected to grow as the chipmaker adds “fabs” and workers. Ancillary businesses are also moving to the area, including Hutto.
“With the recent announcement of the U.S. Semiconductor Support Act, demand for domestic semiconductor supply chain companies to enter North America has increased, but it has not been easy to enter the U.S. market alone,” Jeoung-Yeol said.
Rydell said a chasm between the Korean business community and the United States is at last being bridged.
“As they seek to come over and develop around Samsung, they don’t know the first thing to do. They don’t know who to talk to,” he said. “KOTRA is one of those avenues that is going to smooth this (out) because KOTRA is engaged with the business community in Korea, they have a presence here and they understand the business climate in the U.S., and the people who need to be connected.”
Gravell said residents should be excited about the partnership, which will help small businesses achieve success in Central Texas as opportunities grow.
“This is just a continuation of our partnership with Samsung,” he said. “After our visit last week to South Korea ... we have learned that there are hundreds of businesses to follow.”
Gravell, along with Rydell and Taylor City Manager Brian LaBorde, visited officials in Pyeongtaek City, executives at the Samsung facility near Pyeongtaek and several companies that have expressed an interest in locating their business to Taylor and Williamson County.
In accordance with recent U.S. manufacturing policies, new technologies in high-tech industries — including semiconductors— are being encouraged to move to America. In particular, Korea based companies’ expansions into the U.S. are expected to be more active due to the federal Creating Helpful Incentives to Produce Semiconductors and Science Act of 2022, better known as the CHIPS Act, and the Inflation Reduction Act, officials said.
The CHIPS Act is intended to reduce U.S. reliance on foreign markets such as China for semiconductor production. The chips power everything from computers to cars and are seen as vital to U.S. commerce and growth.
“It’s not only going to help Williamson County and Travis County be successful, but we’re going to see Lee and Milam and Hays and Bell County all be successful,” Gravell said. “All businesses in the region will be successful because of this partnership.”
Rydell said that with Taylor as the home to Samsung, symbolizing the largest foreign investment deal in Texas, the City Council also wanted to bring other companies in alongside the semiconductor plant.
“Once we had Samsung, we wanted to invite those key suppliers and vendors and companies that would service Samsung,” Rydell said. “If they need to be close to Samsung, we want them in Taylor.”
The signed agreement promoting KOTRA with the state and Williamson County, which includes parts of Austin, will strengthen mutual economic cooperation and establish an efficient support system by simplifying procedures and unifying inquiries when domestic companies enter the U.S., according to a spokesman.
