South Korean Trade, Industry and Energy Minister Ahn Duk-geun will meet with officials of major semiconductor companies, including Samsung Electronics and SK hynix, Tuesday to discuss countermeasures to the US CHIPS Act and its requirements, according to the ministry on Monday.

The meeting aims to listen to domestic chipmakers’ needs and grievances regarding the conditions for the first US CHIPS for America funding opportunity for subsidies and come up with negotiation and support measures together.

Last Wednesday, the US government announced conditions for subsidies under the $53- billion act with major strings attached, requiring applicants to submit their profitability indicators and projections of cash flows. It has raised concerns over the possibility of disclosing chipmakers’ confidential information, such as their key technologies and management systems.

While the US bill is designed to revitalize the country's chip industry and secure supply chains on its home turf, detailed guidance on the so-called "guardrails" -- provisions banning recipients from making fresh investments in chips in China for a decade -- is also expected to be announced sometime this month.

Following the latest announcement on the US CHIPS Act’s grant conditions, the trade ministry vowed to hold talks with the authorities there to ensure that the domestic industry’s opinions are fully reflected in the national security guardrail provisions.