[Asia Economy (Hongseong) Reporter Jeong Il-woong] Chungnam Province is accelerating corporate attraction, leveraging its designation as an innovation city. Additionally, as the land development project for Naepo New City nears completion, it is expected to boost the revitalization of the new city.
◆ Smooth progress in corporate attraction... Outlook remains 'clear' = According to the province on the 20th, as of the end of last month, 203,749㎡ (31.2% of the total) of the 653,840㎡ industrial and industry-academia land within the Naepo New City Urban High-tech Industrial Complex has been sold, and a total of 23 companies have either completed moving in or are in the process of moving in.
The status of corporate move-in is categorized as follows: 4 companies operating production lines, 1 company with completed production facilities, 1 company preparing for landscape review, 1 company preparing for construction, 7 companies with investment agreements planned, and 9 companies purchasing land.
Among them, Hanyang Robotics, the ‘No. 1 company in Naepo,’ started operating its production line in July last year and is currently serving as a milestone for subsequent companies through active business activities. Specializing in the production, design, and installation of industrial robots, this company decided to relocate from the metropolitan area to Naepo in 2014 and has been operating a factory and facilities on a 16,529㎡ site.
In particular, the province expects that, following Chungnam’s designation as an innovation city, the pace of attracting additional companies beyond those currently settled (including those planned) will accelerate.
Despite adverse factors such as the prolonged COVID-19 pandemic and domestic and international economic downturns, the fact that companies attracted to Naepo New City are continuously starting production lines, and especially the improved investment attraction conditions due to the innovation city designation, which relatively increases the possibility of attracting companies and public institutions, are reflected in these expectations.
◆ Naepo New City land development nearing completion and expected 'synergy effects' = The province anticipates that the land development project for Naepo New City, now in its final stages, will be a positive factor for corporate attraction and new city revitalization.
Previously, in 2006, the province designated Naepo New City as the planned site for the provincial government relocation (from Daejeon to Chungnam), and the following year, it designated the urban development zone for the new provincial government city. Naepo New City is being developed over an area of 9,951,729㎡ spanning Hongbuk-eup and Sapgyo-eup in Yesan County. As of the end of last month, the land development progress rate stands at 97.1% (9.66 million ㎡), and the province aims to complete all projects by the end of this year.
The province is also close to achieving its goal of attracting 107 institutions and organizations alongside the land development. So far, a total of 103 institutions and organizations have relocated to Naepo New City or nearby areas. Considering that one institution is currently preparing to relocate, the province explains that achieving the target is not difficult.
Living conditions are also improving. In Naepo New City, 10 apartment complexes (11,018 households) have been completed, 6 complexes (5,655 households) are under construction, and 5 complexes (6,200 households) have received project approval, providing living spaces for employees of companies and members of institutions and organizations settled in the area. Based on this, the population of Naepo New City reached 27,834 as of the end of September, which is 55 times higher than in December 2012, when the provincial government relocation began.
A provincial official said, “Despite adverse conditions such as the domestic and international economic downturn caused by the COVID-19 pandemic, the number of companies and institutions moving into Naepo New City is increasing,” adding, “The completion of the land development project, combined with the innovation city designation, is expected to act as a catalyst for the revitalization of Naepo New City.”
He further stated, “With improved investment attraction conditions due to the innovation city designation, the province will actively discover and attract companies that fit the characteristics of Naepo New City, so that Naepo New City can also develop its identity as a production city.”
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
