'Growing the "Second Yongin Cluster"... Bio, Future Cars, and Specialized Complexes for Materials, Parts, and Equipment Open for Bids'

Public Contest from 22nd to April 12th, Announcement Around July
Currently Includes 5 Sites Such as Yongin SK Semiconductor and Cheongju LG Secondary Battery

The government announced on the 21st that it will provide local governments aiming to create a 'second Yongin semiconductor cluster' with an opportunity to apply for additional designation of specialized complexes for materials, parts, and equipment until next month.

The Ministry of Trade, Industry and Energy announced that it will open a call for additional designation of materials, parts, and equipment complexes from the 22nd until July 12.

Since first designating five materials, parts, and equipment complexes in February 2021, the ministry has supported them with about 470 billion KRW. These complexes were created to gather materials, parts, and equipment companies (suppliers) around demand companies to build an ecosystem and accelerate technological independence. Over two years after establishing the five complexes, production increased by 26%, exports by 47%, and employment by about 5,000 people annually.

The five complexes are: semiconductor in Yongin, Gyeonggi-do (demand company = SK Hynix), secondary batteries in Cheongju, Chungbuk (LG Energy Solution), display in Cheonan-Asan, Chungnam (Samsung Display), carbon materials in Jeonju, Jeonbuk (Hyosung Advanced Materials), and precision machinery in Changwon, Gyeongnam (Doosan Machine Tools, etc.).

Aerial view of Yongin Semiconductor Cluster. [Photo by Gyeonggi-do]

The ministry plans to create additional specialized complexes for advanced industries such as future cars and bio. The policy is to establish additional complexes to strengthen the national supply chain ecosystem in advanced industrial sectors.

Heads of central administrative agencies, special mayors, metropolitan mayors, special self-governing city mayors, governors, or special self-governing province governors who wish to apply can submit documents such as a specialized complex development plan. After receiving applications and development plans from local governments, the ministry will consult with related ministries and conduct a review by the materials, parts, and equipment competitiveness committee, then notify the results in July.

The ministry also stated that it plans to consider additional designation of specialized complexes in the five already designated fields. If regional industrial competitiveness, complex competitiveness, and necessity of designation are verified, additional specialized complexes will be established.

An official from the ministry said, "We plan to strengthen the foundation for fostering advanced industries by creating new specialized complexes that support infrastructure, investment, research and development (R&D), and commercialization, and to enhance customized support by complex and sector, such as raw material supply, production, and export competitiveness."