Samsung Electronics shares dropped 3% following the announcement that over 47,000 workers will begin a strike on Thursday after wage negotiations with the company's union collapsed.
The strike threatens to disrupt operations at the South Korean chip giant, a key player in the global semiconductor industry.
The government has been, with South Korean President Lee Jae Myung urging a resolution to the dispute.
Earlier reports indicated that the government was intensifying pressure on both parties to avoid a prolonged work stoppage, which could have broader economic implications.
The labor dispute has already drawn attention from policymakers and industry observers, given Samsung's critical role in global supply chains.
The strike could impact production timelines and potentially affect downstream sectors reliant on Samsung's components.