Former U.S. President and 2024 Republican presidential nominee Donald Trump speaks during a campaign rally at Van Andel Arena in Grand Rapids, Mich., Saturday. AFP-Yonhap

Korean firms are wary of a possible flip-flopping of U.S. programs that award subsidies to chipmakers investing in the United States, as Republican presidential candidate Donald Trump continues to express negative views on such initiatives.

As U.S. President Joe Biden's exit from the 2024 presidential race heightens uncertainties surrounding the election, the Korean chipmaking industry is responding with increased caution to Trump's statements.

In an interview with Bloomberg Businessweek published last week, Trump claimed Taiwan Semiconductor Manufacturing Company (TSMC) took "about 100 percent of our chip business."

"Now we're giving them billions of dollars to build new chips in our country, and then they're going to take that too, in other words, they'll build it but then they'll bring it back to their country," Trump said.

While Trump's remarks were consistent with his stance on U.S. policy toward China's Taiwan principle, they had a direct impact on chipmakers, resulting in a 2.4 percent decline in TSMC's stock price in Taiwan on July 16 (local time).

Korean chipmakers also seemed to be affected by the comments.

Samsung Electronics shares also slipped 5.36 percent from 87,700 won on July 16 to 83,000 won on Monday, while SK hynix stocks shed 12 percent during the same period. The two companies each suffered 1.66 percent and 2.15 percent drops on Monday alone, as Biden announced his withdrawal from the presidential race.

So far, Trump has not clearly expressed his position on the Biden administration's initiative to invite foreign chipmakers to invest in the U.S. through the CHIPS Act and the subsidies it provides.

The construction site of Samsung Electronics' plant in Taylor, Texas / Courtesy of Samsung Electronics

Experts and domestic industry officials believe that it would be difficult for Trump to overturn chip subsidies, as they are enshrined in a law passed by the U.S. Congress. However, they are also concerned that there could be adjustments to the priorities for these subsidies between American and non-American firms, if Trump is elected.

So far, the U.S. has announced grants and loans to 13 companies across 23 projects in 14 states under the CHIPS Act. Among these, Samsung Electronics is set to receive $6.4 billion in subsidies from the Biden administration for building two new foundry facilities in Texas, which are expected to be completed by November.

In April, SK hynix also announced its plan to spend $3.87 billion to build facilities for high bandwidth memory chips in Indiana, with the goal of beginning mass production as early as 2028. Although the company has yet to break ground, it has applied for subsidies from the U.S. government.

Industry officials are taking a cautious approach to their chip strategies in response to Trump's stance, acknowledging that "uncertainties are growing."

"With months remaining before the presidential election, it is premature to predict what's going to happen, and it is important for companies to see how policies will unfold in detail even if Trump wins the election," an official said.

SK Group Chairman Chey Tae-won also said in a press conference on Friday that "it is difficult to imagine and predict what actions he (Trump) might take if elected."

The chairman said, "If the subsidies are withdrawn, we may need to revisit the investment plans for SK hynix's plant in Indiana from the ground up," while acknowledging that "a clear answer won't emerge until after the election and into next spring."

Another industry official noted that while uncertainties are growing rapidly, the chances of Korean chipmakers withdrawing their investments in the U.S. are very slim, given the American dominance in artificial intelligence and advanced technologies, and the fundamental similarities between Trump's and Biden's economic policies.