Hyundai set to build pounds 1.5bn chip plant in Scotland

Scotland is hoping for a big jobs boost next week from Hyundai, the giant Korean electronics group. Hyundai is set to announce plans for a pounds 1.5bn plant in Scotland's Silicon Glen which will create 1,500 new jobs.

Michael Forsyth, Scottish Secretary, is tipped to make an announcement at the Conservative Party conference in Bournemouth on Tuesday.

The Scottish Office declined to comment and a spokesman for Hyundai said: "No commitment or decision has been made. We are continuing to investigate possible sites in Europe."

However, Hyundai is thought to have been examining possible sites in Britain and the Irish Republic for a silicon chip plant. A 500-acre site at Dunfermline in Fife is understood to have emerged as one of the favourites. The Koreans were reported to have taken an outline decision in favour of Dunfermline some months ago.

The North-east was considered but ruled out because it lacked a large enough site.

The plant would be one of Scotland's biggest inward investments and an announcement at the Tory conference would bring political kudos to Mr Forsyth, easing much of the sting created by the closure of the nearby Rosyth naval base.

It would also bolster Tory claims that Scotland is fast becoming the "cutting edge" of a Britain which itself is becoming the enterprise centre of Europe.

Although Scotland has attracted much Far East and US investment to its booming electronics sector, it lost out to Wales earlier this year when another Korean firm, LG (formerly Lucky Goldstar), chose the principality for a pounds 1.7bn electronics complex employing 6,000 people - the biggest single foreign investment in western Europe.

The Scottish Office said: "At any particular time, Locate in Scotland [an inward investment-seeking agency] is in discussion with a number of companies about potential inward investment projects.

"All such discussions are commercially confidential unless and until the company chooses to make a public announcement about its plans.

"Nothing in this statement should be taken as confirming or denying that LIS is currently in discussion with any particular company."

Hyundai's Scottish plant would be part of the group's world-wide expansion plans which include the development of four semiconductor plants by the end of the century. The total investment is expected to be in the region of pounds 4bn. The company has earmarked an additional pounds 3bn for the development of non-semiconductor plants.

Daewoo, another Korean giant which already sells its cars in Britain, is also expected to build a UK manufacturing plant. It is expected to announce plans to build a research and development facility, possibly in the West Midlands, as a forerunner to a car plant. Daewoo is also considering building a pounds 750m semiconductor plant in Northern Ireland in conjunction with Texas Instruments.

The Government and its development agencies hope Korea will follow Japan with a steady flow of inward investment into the UK.

Britain already accounts for more than half of investment by Korea in western Europe.

The UK is a popular choice due to relatively low wage costs and a high level of skills.

News
The surrealist comedian at the Q Awards in 2010
people
News
Russell Brand arriving for the book launch in East London
peopleRussell Brand cancels his book launch debate due to concerns about the make-up of the panel
Sport
Christiano Ronaldo enjoys his opening goal
champions leagueLiverpool 0 Real Madrid 3: Ronaldo and Benzema run Reds ragged to avenge thrashing from their last visit to Anfield
Arts and Entertainment
Awesome foursome: Sam Smith shows off his awards
music22-year-old confirms he is 2014’s breakout British music success
PROMOTED VIDEO
Life and Style
Six of the 76 Goats' cheese samples contained a significant amount of sheep's cheese
food + drink
Arts and Entertainment
Contestants during this summer's Celebrity Big Brother grand finale
tvBroadcaster attempts to change its image following sale to American media group
Extras
indybest
Arts and Entertainment
Sir Nicholas Serota has been a feature in the Power 100 top ten since its 2002 launch
art
Arts and Entertainment
Sarah Dales attempts to sell British Breeze in the luxury scent task
tvReview: 'Apprentice' candidate on the verge of tears as they were ejected from the boardroom
News
Call me Superman: one of many unusual names chosen by Chinese students
newsChinese state TV offers advice for citizens picking a Western moniker
News
ebooksAn unforgettable anthology of contemporary reportage
News
Wilko Johnson is currently on his farewell tour
people
Voices
New look: Zellweger at Elle's Women in Hollywood awards on Monday
voicesRenée Zellweger's real crime has been to age in an industry that prizes women's youth over humanity, says Amanda Hess
News
Let’s pretend: KidZania in Tokyo
educationKidZania lets children try their hands at being a firefighter, doctor or factory worker for the day
Life and Style
CHARGE BOOSTER: Aeroplane mode doesn't sound very exciting, but it can be a (phone) hacker's friend. Turning on the option while charging your mobile will increase the speed at which your phone battery charges
techNew book reveals how to rid your inbox of spam, protect your passwords and amplify your iPhone
Arts and Entertainment
Julianne Moore and Ellen Page are starring together in civil rights drama Freeheld
film
Latest stories from i100
Have you tried new the Independent Digital Edition apps?
Independent Dating
and  

By clicking 'Search' you
are agreeing to our
Terms of Use.

iJobs Job Widget
iJobs Money & Business

IT Systems Business Analyst - Watford - £28k + bonus + benefits

£24000 - £28000 per annum + bonus & benefits: Ashdown Group: IT Business Syste...

Trainee Recruitment Consultant - Birmingham - Real Staffing

£18000 - £23000 per annum + Commission: SThree: The SThree group is a world le...

Trainee Recruitment Consultant Birmingham

£18000 - £23000 per annum + Comission: SThree: The SThree group is a world lea...

Trainee Recruitment Consultants

£20000 - £25000 per annum + OTE £Competitive: SThree: SThree Group and have be...

Day In a Page

How could three tourists have been battered within an inch of their lives by a burglar in a plush London hotel?

A crime that reveals London's dark heart

How could three tourists have been battered within an inch of their lives by a burglar in a plush London hotel?
Meet 'Porridge' and 'Vampire': Chinese state TV is offering advice for citizens picking a Western moniker

Lost in translation: Western monikers

Chinese state TV is offering advice for citizens picking a Western moniker. Simon Usborne, who met a 'Porridge' and a 'Vampire' while in China, can see the problem
Handy hacks that make life easier: New book reveals how to rid your inbox of spam, protect your passwords and amplify your iPhone

Handy hacks that make life easier

New book reveals how to rid your email inbox of spam, protect your passwords and amplify your iPhone with a loo-roll
KidZania lets children try their hands at being a firefighter, doctor or factory worker for the day

KidZania: It's a small world

The new 'educational entertainment experience' in London's Shepherd's Bush will allow children to try out the jobs that are usually undertaken by adults, including firefighter, doctor or factory worker
Renée Zellweger's real crime has been to age in an industry that prizes women's youth over humanity

'Renée Zellweger's real crime was to age'

The actress's altered appearance raised eyebrows at Elle's Women in Hollywood awards on Monday
From Cinderella to The Jungle Book, Disney plans live-action remakes of animated classics

Disney plans live-action remakes of animated classics

From Cinderella to The Jungle Book, Patrick Grafton-Green wonders if they can ever recapture the old magic
Thousands of teenagers to visit battlefields of the First World War in new Government scheme

Pupils to visit First World War battlefields

A new Government scheme aims to bring the the horrors of the conflict to life over the next five years
The 10 best smartphone accessories

Make the most of your mobile: 10 best smartphone accessories

Try these add-ons for everything from secret charging to making sure you never lose your keys again
Mario Balotelli substituted at half-time against Real Madrid: Was this shirt swapping the real reason?

Liverpool v Real Madrid

Mario Balotelli substituted at half-time. Was shirt swapping the real reason?
West Indies tour of India: Hurricane set to sweep Windies into the shadows

Hurricane set to sweep Windies into the shadows

Decision to pull out of India tour leaves the WICB fighting for its existence with an off-field storm building
Indiana serial killer? Man arrested for murdering teenage prostitute confesses to six other murders - and police fear there could be many more

A new American serial killer?

Police fear man arrested for murder of teen prostitute could be responsible for killing spree dating back 20 years
Sweetie, the fake 10-year-old girl designed to catch online predators, claims her first scalp

Sting to trap paedophiles may not carry weight in UK courts

Computer image of ‘Sweetie’ represented entrapment, experts say
Fukushima nuclear crisis: Evacuees still stuck in cramped emergency housing three years on - and may never return home

Return to Fukushima – a land they will never call home again

Evacuees still stuck in cramped emergency housing three years on from nuclear disaster
Wildlife Photographer of the Year: Intimate image of resting lions claims top prize

Wildlife Photographer of the Year

Intimate image of resting lions claims top prize
Online petitions: Sign here to change the world

Want to change the world? Just sign here

The proliferation of online petitions allows us to register our protests at the touch of a button. But do they change anything?