[Advanced Industry Promotion] Establishment of National Industrial Complexes in 15 Locations Including Yongin, Daejeon, and Gwangju

On the 15th, the government selected 15 candidate sites for the ‘National Advanced Strategic Industry Specialized Complexes’ (hereinafter referred to as National Complexes) to secure production bases for advanced industries such as semiconductors, secondary batteries, and mobility. Four sites each were chosen in the Chungcheong, Honam, and Daegyeong regions, and one site each in the Gyeonggi, Gyeongnam, and Gangwon regions.

The semiconductor National Complex, which attracted the greatest attention, will be established in Namsa-eup, Yongin. On a 7.1 million square meter site, five semiconductor manufacturing plants (focused on system semiconductors) will be built, and up to 150 domestic and international materials, parts, and equipment companies are expected to be located there. Previously, the semiconductor National Complex competition saw fierce contests with seven local governments in Gyeonggi Province, as well as metropolitan cities such as Incheon, Daejeon, and Busan applying to host the complex.

In the Chungcheong region, mobility National Complexes will be established in Daejeon, Cheonan, Cheongju, and Hongseong. Daejeon will promote industrial development in nanotechnology, semiconductors, and aerospace, with plans to establish a Nanotechnology and Semiconductor Comprehensive Research Institute and the 2nd Daedeok Research Complex.

Cheonan will build a materials, parts, and equipment value chain for the future mobility industry, Cheongju will establish a comprehensive railway test track and a branch of the Korea Railroad Research Institute, and Hongseong will promote hydrogen-based industries, focusing on nurturing hydrogen vehicle and electric vehicle parts companies.

In the Honam region, National Complexes will be established to foster industries such as automobiles, food, and the Naro Space Center, leveraging regional foundations. Based on two complete vehicle production plants including Kia Motors, the development of the automobile parts industry focusing on core components for future vehicles will be promoted.

Goheung will develop a space industry cluster linked to the Naro Space Center, and Iksan will host 12 food company support R&D facilities from the Ministry of Agriculture, Food and Rural Affairs to establish a food tech technology base. Wanju will support the entire hydrogen industry cycle, including medium and large hydrogen commercial vehicles and hydrogen storage and transportation containers.

In the Gyeongnam region, Changwon will focus on developing defense and nuclear power as key industries. Considering the aging and saturation of existing National Complexes, efforts will be made to support production and advanced research.

In the Daegyeong region, Daegu will focus on future vehicles and the robotics industry; Andong will host bio and vaccine research institutions and support facilities; Gyeongju will specialize in demonstration, production, and export of small modular reactors (SMRs); and Uljin will be responsible for hydrogen production using heat and non-transmission power from nuclear power plants (the largest concentration area).

Gangneung is expected to become a leading green bio city through the development of the natural product bioindustry.

The government explained that the selection of these National Complex candidate sites considered ▲the value as national strategic industries ▲the possibility of attracting companies ▲ease of development ▲regional balanced development.

Areas selected as National Complexes will receive benefits such as simplified permits, priority allocation of R&D (research and development) budgets, and support for infrastructure construction, and are expected to achieve economic effects worth trillions of won, including job creation.

Earlier, the Ministry of Land, Infrastructure and Transport partially amended the ‘Enforcement Decree of the National Land Planning and Utilization Act’ to support National Complexes. When companies make new or expanded investments for National Complexes, the floor area ratio of industrial complexes can be increased up to 1.4 times the legal level. For general industrial areas, this means an increase from the existing 350% to 490%.

Additionally, the procedures for building expansions such as factories have been simplified. The scope of small-scale expansions exempt from urban planning committee review has been expanded from within 5% of the site area to within 10%, and even when expanding the site by up to 10%, urban planning committee review is exempted. By avoiding urban planning committee review, the permit period can be shortened by more than 60 days.