Daejeon Selected as Candidate for Aerospace Special Zone by Ministry of SMEs and Startups... All-Out Effort for Final Designation

October Detailed Planning Task Force Formed, Official Designation Process in Full Swing

Daejeon City has been selected as a candidate special zone for aerospace by the Ministry of SMEs and Startups. / Daejeon City

Daejeon City announced that it has been selected as a candidate for the Space and Aerospace Regulation-Free Zone in the 2024 Regulation-Free Zone Candidate Competition, hosted by the Ministry of SMEs and Startups.

The city plans to proceed with the review process for designation as a space and aerospace regulation-free zone in the first half of next year, utilizing Daejeon's infrastructure and resources to the fullest in cooperation with Daejeon Technopark.

In October, the city will issue a public notice to recruit zone project operators and form a detailed planning task force composed of experts from industry, academia, research, and government to further specify the project. At the same time, together with the Ministry of SMEs and Startups, the city will actively pursue procedures for regulation-free zone designation, including consultations with relevant ministries, subcommittees, review committees, and the zone committee.

The city expects that, once designated as a regulation-free zone and regulatory barriers are lifted, it will be able to accelerate the creation of a private-led space industry ecosystem by encouraging the participation and innovation of space companies.

It is also projected that, if promoted in connection with Daejeon's comprehensive plan for fostering the space industry by 2030, the city could achieve an economic impact of approximately 1.3 trillion won in production inducement.

Daejeon is home to 81 space companies and possesses key technologies in the space sector, such as the world's highest-resolution earth observation technology and launch vehicle development technology. However, due to regulations, satellite imagery is hardly used commercially, and the manufacturing of space components such as launch vehicles faces significant restrictions.

Lee Jangwoo, Mayor of Daejeon, said, "We will do our utmost to ensure that Daejeon is designated as a space and aerospace regulation-free zone so that we do not miss the golden opportunity to establish ourselves as a hub city leading the leap toward becoming a powerhouse in Korea's space economy."