Brazil has signed a memorandum of understanding (MoU) with South Korea to set up a chip factory in the South American country. The industry giant Samsung is the primary focus of the negotiations, although the parties are only at the beginning of the talks.
Samsung would therefore manufacture semiconductor products for the local industry as well for export not only in South America but also to North America, Africa and Europe. A factory in Brazil would underpin the broader global footprint that many companies are currently pursuing rather than the sole focus on Asia. For example, Samsung is building a large factory in the US, and more may follow in the coming decade.