Daejeon’s ‘First’ Complex-Type Outer Development Area Established in Yuseong Dungok District

The first complex-type foreign investment zone in the Daejeon area will be established within the International Science Business Belt. Location of the foreign investment zone. Provided by Daejeon City.

[Asia Economy (Daejeon) Reporter Jeong Il-woong] A complex-type foreign investment zone will be designated and established in the Dungok District of the International Science Business Belt in Yuseong-gu, Daejeon (Industrial Block 13 and Industrial Block 16). This is the first time that a complex-type foreign investment zone has been designated in Daejeon.

According to the city on the 11th, the plan to designate a complex-type foreign investment zone within the International Science Belt recently passed the review of the Foreign Investment Committee of the Ministry of Trade, Industry and Energy.

Following the approval of the designation plan, the city will invest a total project cost of 38.5 billion KRW (23.1 billion KRW from the national government and 15.4 billion KRW from the city) to establish a complex-type foreign investment zone on an 83,566㎡ site within the International Science Belt.

It is expected that about 12 foreign-invested companies will move in after the establishment, and the tenant companies will utilize the site in the form of long-term leases.

The city anticipates that a local fuel cell manufacturer from the United Arab Emirates (UAE), which was attracted in May, will move into the complex-type foreign investment zone within the International Science Belt by the end of this year. This company has recently completed a foreign direct investment (FDI) report amounting to 14 million USD (approximately 16.7 billion KRW).

Starting next year, production companies specializing in hydrogen extraction dimethyl ether (DME), natural shampoo, and machinery equipment, based in Thailand, China, Japan, and other countries, are expected to move in sequentially, the city explained. Several prospective tenant companies signed agreements with the city last year regarding moving into the International Science Belt complex-type foreign investment zone.

The city emphasizes the significance of the International Science Belt complex-type foreign investment zone as the region's first foreign investment zone.

Additionally, by attracting foreign-invested companies in fields such as fuel cells, medical pharmaceuticals, bio, and semiconductors to the foreign investment zone, the city expects to achieve direct investments exceeding 48 million USD (approximately 57 billion KRW), production inducement effects of 207.5 billion KRW, added value inducement of 74.9 billion KRW, and employment effects of about 1,300 jobs over the next five years.

Above all, by attracting the foreign investment zone within the International Science Belt, the city foresees long-term synergy effects such as the establishment of cooperative relationships between the heavy ion accelerator, excellent domestic SMEs and research institutes, the Institute for Basic Science, and overseas companies, leading to the creation of new business opportunities and promotion of technological innovation.

Previously, the city has been promoting the attraction of foreign investment zones since 2016 in cooperation with the Ministry of Science and ICT.

Ko Hyun-duk, Director of the City’s Job and Economy Bureau, said, “The city will continue to promote foreign investment attraction activities, taking the designation of the International Science Belt complex-type foreign investment zone as an opportunity, to help Daejeon firmly establish itself as a genuine international science city.”

This content was produced with the assistance of AI translation services.