Although the EU is politically conflicted, economically, many interests are intertwined, so the EU, which was cautious, suddenly slapped a maximum tariff of 47% when Chinese cars entered the EU market. This shows that governments around the world attach great importance to the automobile industry.
Due to the nature of manufacturing, large-scale job creation and good job quality were thought to be important by the government, but I felt from yesterday’s article that the impact on the economy was much greater.
The definition of economic contribution itself is the total amount of economic value created by a company through its business activities, and is the sum of the costs paid by the company to stakeholders such as partners, executives and employees, government, shareholders, creditors, and society, and is literally the amount that a company contributes to the economy.
In the case of SK Hynix, ranked 2nd in market cap, we can see that it is outside the indicator, and considering the simple slump in the semiconductor industry, it is outside the top 10 even in the 22-year indicator.
Considering that semiconductors also create significant employment due to the nature of the manufacturing industry, and that most of the people employed in decent mid-sized companies are in the semiconductor industry, what this indicator shows is not that the contribution to Samsung Electronics or SK Hynix is small, but that the automobile industry’s economic contribution is greater than that of other industries. I think it is a high-value industry (while the semiconductor industry itself is a global division of labor, I think the impact of internalization to a large extent in the automobile industry is significant).
Looking at these indicators, whether it is the United States, the EU, or China, it is expected that great checks or support will be provided when the automobile industry attacks or grows in its home country.