SEOUL, June 8 Reuters South Korea pledged support for its chip sector on Thursday, with President Yoon Suk Yeol describing competition in the industry as an allout war amid heightened SinoU.S. tension.

Earlier in the day, Yoon met with about 60 industry leaders, lawmakers and ministers to discuss how to maintain South Korea39;s lead in memory chips, foster development of system semiconductors, and secure materials, equipment and labour.

Geopolitical issues have become the biggest risk for companies to manage as of late. Companies alone cannot resolve this problem it is one that the nation should tackle by strengthening cooperation with and closely communicating with likeminded countries like the United States, Yoon told the meeting.

The government plans to help expand research and development, bolster smaller players, strengthen legal protection for chip technology and set up a chip testing facility, the industry ministry said in a statement.

South Korea has sought to avoid becoming embroiled in a titfortat row between China and the United States over semiconductors.

On one hand, chipmakers Samsung Electronics Co Ltd and SK Hynix Inc depend on U.S. technology and equipment. At the same time, about 40 of South Korea39;s chip exports go to China, trade ministry data showed.

When Washington announced restrictions on exports of chipmaking tools to China last October, it issued a oneyear waiver for Samsung and SK Hynix, which have manufacturing facilities there, so…