Three New Regulatory Free Zones and Three New Global Innovation Free Zones Designated

Active Support for Regional Testbeds for Regulatory Innovation

The Ministry of SMEs and Startups announced on the 21st that it held the 15th Regulatory Free Zone Committee meeting, during which it reviewed and approved the designation of three new Regulatory Free Zones and three new Global Innovation Regulatory Free Zones.

The Regulatory Free Zone system is designed to foster regional strategic and innovative industries by granting regulatory exemptions in designated areas for a certain period, following consultations with relevant regulatory ministries. This enables the demonstration of new technologies and industries. Since 2019, the Ministry has designated a total of 39 Regulatory Free Zones over nine rounds, supporting 89 demonstration projects. Since last year, to further support local companies in expanding overseas, the Ministry has also been designating Global Innovation Free Zones, which are an advanced version of the Regulatory Free Zone.

The three newly designated Regulatory Free Zones for this year are: ▲ Daejeon Space Technology Research and Application Zone ▲ Ulsan Ammonia Bunkering Zone ▲ Jeonbuk Functional Food Zone. The Daejeon Space Technology Research and Application Zone will establish separate technical standards for high-pressure gas components used in space propulsion and conduct demonstrations for the testing, manufacturing, and use of these components. The Ulsan Ammonia Bunkering Zone will promote the development and demonstration of bunkering technology for supplying fuel to medium- and large-sized ammonia-powered vessels. The Jeonbuk Functional Food Zone will demonstrate safety and application standards and specifications to expand the use of functional ingredients in general foods, and will operate a shared factory for health functional foods to demonstrate the production of functional ingredients and health functional foods.

Additionally, the newly designated Global Innovation Free Zones include the Daegu AI Robot Zone, which will support local companies' overseas expansion by developing and demonstrating AI robots tailored to overseas demand. The Gyeongnam Next-Generation Advanced Satellite Zone will establish procedures for private satellite development and conduct demonstrations of additional missions in space, such as space object observation and self-disposal, using developed satellites. The Daejeon Advanced Biomanufacturing Zone Based on Synthetic Biology will improve the regulatory environment for the risk assessment procedures of genetically modified organisms.

Minister of SMEs and Startups Oh Youngju emphasized, "In order to secure a leading position in new industries, it is important to operate flexible laws and systems and for companies to secure technological competitiveness. Regulatory innovation is an effective policy tool to enhance corporate autonomy and stimulate investment." She added, "Amid growing external uncertainties such as tariff disputes and global supply chain restructuring, we will actively support Regulatory Free Zones and Global Innovation Free Zones so that they can serve as useful policy tools to drive overseas expansion and scale-up of our companies, as well as regional innovation-led growth."

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