Chungnam Province to Expand Cheonan-Asan Innovation District by 1.5 Times

33 Research Institute-Affiliated Companies Established, 49 Startups Launched
Becoming a Hub for Future Unicorns

A plan is being pursued to expand the Cheonan-Asan Small and Medium-Sized Research and Development Zone in Chungnam, which aspires to become the center of Korea's future industries, by 1.5 times its current size.

The Chungnam provincial government announced that it will focus its administrative efforts on entering the second phase by expanding the designated area of the Chungnam Small and Medium-Sized R&D Zone by 1.5 times and creating a fund to foster startups, in order to strengthen the competitiveness of the Chungnam Small and Medium-Sized R&D Zone, which will be a key base for the Bay Valley project.

According to the province on the 12th, since its designation in 2020, 33 research institute-affiliated companies and 49 startup companies have been newly established within the Chungnam Small and Medium-Sized R&D Zone. These companies have created 704 jobs and generated sales of 72.938 billion KRW. In addition, there have been 105 cases of technology transfer and equity investment, and companies have received investments totaling 27.64 billion KRW.

Among the research institute-affiliated and startup companies, Cheonan AwesomeNix, a company developing semiconductor test pins for vehicles established in 2020, demonstrated the potential of the Chungnam Small and Medium-Sized R&D Zone by achieving exports exceeding 1 million USD in its second year of operation.

Within the Chungnam Small and Medium-Sized R&D Zone, 67 companies that have either newly launched or are preparing to launch are nurturing their dreams at Small and Medium-Sized R&D Zone Campuses 1 and 3 and the Chungnam Technopark Automotive Center.

Given that the occupancy space for companies in the Chungnam Small and Medium-Sized R&D Zone is saturated while demand continues to rise, the province is actively promoting the expansion of the zone. The areas being considered for inclusion are Cheonan's 6th Industrial Complex (0.24 km²) and Asan Tangjeong's 2nd Urban Development District (0.3 km²), totaling 0.54 km², which is about half the size of the current designated area (1.08 km²).

Of the expansion areas, Asan will be used for startups, such as accommodating newly established companies, while Cheonan will be utilized for scale-up purposes, such as expanding production facilities for startups entering the growth stage.

The province submitted a request to change the Chungnam Small and Medium-Sized R&D Zone on the 7th, and after a review by the Ministry of Science and ICT, if the expansion is confirmed in December, it is expected to result in the creation of 24 new companies and 240 billion KRW in annual sales.

To support investment attraction for startups in the Chungnam Small and Medium-Sized R&D Zone, the province plans to establish at least one mobility fund this year, following two funds last year.

For entry into the second phase next year, the province plans to specify the specialized field from 'next-generation automotive parts' to 'future vehicle electronic systems' and focus on the evaluation by the Ministry of Science and ICT in the first half of the year.

Through the implementation of the second phase, the province aims to strengthen the region's innovation infrastructure by building a test bed for future electronic system demonstration, provide full-cycle support for technology industrialization, and achieve results such as company growth through investment networks.

The Small and Medium-Sized R&D Zone is a system introduced and promoted by the Ministry of Science and ICT to vitalize technology startups through the commercialization of patents held by public institutions and foster regional R&D hubs. It provides benefits such as government-linked technology development projects (R&DB), regulatory exemptions for new technology demonstrations, and national and local tax reductions.

The Chungnam Small and Medium-Sized R&D Zone includes areas such as Buldang-dong in Cheonan (where the KTX station is located), Tangjeong-myeon in Asan, and parts of Pungse General Industrial Complex in Cheonan.

The province is developing this area as a specialized R&D zone for future ICT convergence automotive parts, centered around the Korea Automotive Technology Institute, the only professional automotive production technology research institute in Korea.

The specialized fields of the Chungnam Small and Medium-Sized R&D Zone are: 1) vehicle displays and infotainment, 2) next-generation battery materials and parts, and 3) future-oriented automotive convergence parts.