6 Cities and Counties in Gangwon-do Designated as Government's 2nd Opportunity Development Zone

Wonju, Gangneung, Donghae, Samcheok, Hongcheon, Yeongwol: Approximately 430,000 Pyeong Across 6 Regions
5-Year Corporate Tax Exemption, Increased National Funding Limits, and Various Benefits
Governor Kim: "Boosting Wings for the Development of Gangwon-do's Key Future Industries"

Gangwon Special Self-Governing Province (Governor Kim Jin-tae) announced on the 6th that six cities and counties and six complexes within Gangwon Province, totaling 1,423,157㎡ (approximately 430,000 pyeong), have been designated as the government's 2nd Opportunity Development Zones.

A panoramic view of Gangwon Provincial Government Office. Photo by Gangwon Provincial Government provided.

The Opportunity Development Zone is an area that comprehensively supports regulatory exemptions, tax and financial support, and improvements in living conditions for workers to attract large-scale corporate investments to local areas. It is the first model introduced as a local government-led zone where the local government leads from the design of the zone, including location, form, and industry, to its operation.

When designated as a special zone, companies newly established or started up within the zone can receive a 100% income tax and corporate tax reduction for five years, followed by a 50% reduction for two years. In addition, various benefits such as increased limits on national funding support and improvements in living conditions for workers within the zone are also provided.

The six designated areas this time are Wonju (118,000 pyeong), Gangneung (185,000 pyeong), Donghae (45,000 pyeong), Samcheok (29,000 pyeong), Hongcheon (7,000 pyeong), and Yeongwol (46,000 pyeong). They plan to establish production bases focusing on key industries such as semiconductors, natural material resources, hydrogen energy, bio, and critical minerals industries.

Major investing companies include a total of 62 companies such as SJ Innotech Co., Ltd., Pharma Research Co., Ltd., Geumgang CNT Co., Ltd., D.A.L. Co., Ltd., CTC Bio Co., Ltd., and Almonti Daehan Jungseok Co., Ltd., with an investment of 881.8 billion KRW and the creation of 1,588 direct employment jobs expected.

Lee Hee-yeol, Director of Planning and Coordination Office of Gangwon Province, said, “The selection of this Opportunity Development Zone accounts for 20% of Gangwon Province’s allocation of 2 million pyeong,” and added, “We will do our best to closely cooperate with the cities and counties preparing for the zones so that the zones can be further expanded.”

Governor Kim Jin-tae of Gangwon Province stated, “The selection of the Opportunity Development Zone has given wings to the development of future industries that Gangwon Province is focusing on,” and added, “We will successfully promote the Gangwon-type Opportunity Development Zone to create a Gangwon Special Self-Governing Province where companies and people gather.”