3. [CBFEZ] the right choice for global businesses
With its complete set of business infrastructure and services,
the ChungBuk Free Economic Zone is poised to be your partner for success.
Get on the road to bigger success at the CBFEZ, the epicenter of global investment.
04 . ChungBuk Free Economic Zone ChungBuk Free Economic Zone . 05
Bio-Valley
Aero-Polis
Eco-Polis
ChungBuk
Free Economic Zone
4. This is how the CBFEZ is developed
. BioValley . Aeropolis . Ecopolis
Why the CBFEZ?
Highest levels of accessibility
across the country01
Solid business
infrastructure02
Competitive industrial
infrastructure03
Favorable living
conditions04
Benefits for
foreign-invested companies05
ABOUT THE
CBFEZ
06 . ChungBuk Free Economic Zone ChungBuk Free Economic Zone . 07
5. Location: Osong-eup, Cheongju-si
Objectives: Foster the medical
equipment industry, convergence of
IT with bio-medicine
Area: 4.41 km2
Location: Naesu-eup, Cheongju-si
Objectives: Build an aircraft
maintenance complex
Area: 0.47 km2
Location: Jungangtap-myeon, Chungju-si
Objectives: Foster bio, recreation,
and electronic auto parts industries
(utilizing alternative energies)
Area: 4.20 km2
Becoming the center of global attention, the CBFEZ is a special economic zone developed to improve
operational environments for foreign-invested companies and living conditions for foreigners.
Not only does the CBFEZ offer a range of tax relief, financial assistance and deregulatory benefits,
but it also supplies educational, medical and residential resources for foreigners,
providing distraction-free business environments for corporations.
. An environmentally friendly, bioinformatics
convergence business hub
. Develop a biomedical hub for Northeast Asia.
. Promote the aerospace industry centering
around Cheongju International Airport.
. Create an environmentally friendly eco-cluster for
biotech and ICT industries.
Vision
Goals
Bio-Valley Aero-Polis Eco-Polis
08 . ChungBuk Free Economic Zone ChungBuk Free Economic Zone . 09
ChungBuk
Free Economic Zone
6. Why the CBFEZ?
Located at the center of the country which is at the center of Northeast Asia,
the CBFEZ is a strategic point for transportation and logistics that offers
ground pathways, putting it within a two hours distance from anywhere in
the country, as well as wide-open airways through Cheongju International
Airport, a hub airport in the Jungbu region.
Its solid industrial infrastructure catering to biotech, ICT and solar power
industries interlinks all operations and thus maximizes synergy.
TheCBFEZisareliablebusinesspartnerequippedwithcompetitiveindustrial
infrastructure and favorable livings conditions.
10 . ChungBuk Free Economic Zone ChungBuk Free Economic Zone . 11
7. Regional transport network connecting all directions
. 7 expressways forming north-south and east-west axes
. Osong Station, the only junction where the Honam HSR branches out
of the Gyeongbu HSR, serves as an X-shaped hub connecting the entire country.
. The double-track, electrified railway for the Seoul metropolitan area is
slated for extension to Cheongju International Airport.
Cheongju International Airport as a hub airport in the Jungbu region
. 1 - 3 hour access to major Asian countries
. Operated around the clock and ranked fifth in the country
. Capacity: 140 thousand flights, 3.15 thousand passengers and
38 thousand metric tons of freight per yea
Proximity (1 hour) to Pyeongtaek-Dangjin Port,
logistics hubs of Northeast Asia
* Pyeongtaek-Dangjin Port: Shortest route to the coastal industrial belt of
China and sufficient water depth to accommodate large ships
Center of Korea
. Sits at the center of the country and serves as the central axis
of the economic development of Korea.
. Its proximity to Sejong-si, the country’s de facto second capital,
facilitates interactions with government agencies.
* 36 central administrative agencies and 16 government-funded
research establishments will be relocated to Sejong-si.
01
Accessibility , no more better!
Within a hour from the Seoul metropolitan area and
two hours from anywhere in the country.
12 . ChungBuk Free Economic Zone ChungBuk Free Economic Zone . 13
8. Largest biocluster
. Osong Bioscience Complex, the only biomedical industrial complex in the country
. Osong Bioscience Complex, a cluster of the human resources and material infrastructure
essential to the development of new drugs and high-tech medical devices
. OsongHealthTechnologyAdministrationComplex,whoseoccupantsincludetopsixgovernment-funded
healthcare and medical agencies such as the Ministry of Food and Drug Safety
Appearance of many global companies
. Nearly 200,000 people work for some 7,500 companies within
38 industrial parks including 2 national industrial complexes.
Largest cluster of semiconductor, solar power and
other ICT-based industries
. Forms an ICT cluster producing semiconductor components through finished products,
accounting for 30% of domestic production.
. First to be designated as a solar power economic zone in the country,
accounting for 60 - 70% of domestic cell and module production
Cluster of knowledge-based manufacturing industries resulting from
national projects
. Designated as an inland high-tech industrial belt and a zone to serve
as an international science and business belt
. Proximity to the Ochang Science and Industry Complex,
the Chungju Enterprise City and the Jincheon and Eumseong Innovation City
. High-tech cluster developed around Osong and Ochange: The Korea Research Institute of
Bioscience and Biotechnology, the ChungBuk Technopark, the Korea Basic Science Institute etc.
02
Competitive business
infrastructure
ChungBuk Free Economic Zone
14 . ChungBuk Free Economic Zone ChungBuk Free Economic Zone . 15
9. 03
Enjoyable business
environment
ChungBuk Free Economic Zone
Affordable land prices
. Supplies production sites at lower prices than other regions.
. Minimizes investment costs.
* Osong Biomedical District: 520,000 Korean won per pyeong
Osong Bio-Converging Industrial District: 1 million won per pyeong
Chungju Ecopolis District: 530,000 won per pyeong
Incheon: 1.6 million won; Busan-Jinhae: 1.79 million won
High quality human resources
. Top talent trained: Approximately 900 at seven biotech related colleges, around 2,200
at thirteen ICT related colleges and more than 800 at automotive engineering related colleges.
. Training of craftsmen: The Korea Bio Meister High School, the ChungBuk Semiconductor
High School, the ChungBuk Energy High School and other specialized vocational high schools
. Training of human resources customized for businesses and effective industry-academic
networks for each region
Optimal place for high-tech industries with rare national disaster
. Named as the safest location in terms of floods, typhoons, heat waves, etc.
(in the National Climate Change Assessment by the
Korea National Institute of Environmental Research)
Sufficient industrial water and power
. Industrial water: 5,029 million m3
- Industrial electric power: 8,681 million kw
16 . ChungBuk Free Economic Zone ChungBuk Free Economic Zone . 17
10. 04
Favorable living
conditions
ChungBuk Free Economic Zone
Favorable living conditions for foreigners
. Offers exclusive residential lots for foreigners.
. Schools, hospitals and pharmacies for foreigners in Osong Bio-Converging
Industrial District and the Chungju Ecopolis District
Beautiful scenery
. 3 national parks (Sobacksan, Woraksan and Songnisan), 7 ring trails,
16 recreational forests, etc.
. Cheongnamdae, Chungju Lake, the Eight Views of Danyang,
the Nine Turns of Hwayang and other well-known tourist attractions
High quality leisure facilities
. Public libraries, museums, art galleries and other cultural venues
. Golf courses, ski slopes, water leisure and sports facilities,
Boyang Hot Springs, and other leisure and recreational facilities
Enjoyable international events
. Cosmetics and beauty, biotech, organic food and other international exhibitions
. International music and film festivals and other cultural events
18 . ChungBuk Free Economic Zone ChungBuk Free Economic Zone . 19
11. Tax relief for Free Economic Zones Funding support
Other incentives
Tax Eligibility Incentives Investment requirements
National
taxes
Corporate
and
personal
income tax
Any operation that is conducted
by a foreign-invested company residing in a free
economic zone and declared eligible by the re-
view and resolution of the Free Economic Zone
Committee
Full relief for five years,
and 50% relief for the next
two years
. USD 30 million or more (manufacturing, etc.)
. USD 20 million or more (tourism, etc.)
. USD 10 million or more (logistics, etc.)
. USD 2 million or more (any research establishment
employing 10 persons or more)
Any operation conducted by a foreign-invested
company occupant of a free economic zone
Full relief for three years,
and 50% relief for the next
two years
. USD 10 million or more (manufacturing)
. USD 10 million or more (tourism, etc.)
. USD 5 million or more (logistics, etc.)
. USD 5 million or more (health care provider)
. USD 1 million or more (any research
establishment employing 10 persons or more)
. USD 10 million or more (any service providers)
Any development project that addresses
planning, financing, design, construction,
marketing, leasing, sale etc. in order to
develop a free economic zone
Full relief for three years,
and 50% relief for the next
two years
USD 30 million, or the total cost of the development project
for the free economic zone amounting to USD 500 million or
more,whereforeigninvestorshold50%ormoreinterestinthe
project
Customs
duties
Any operation that is conducted
by a foreign-invested company to occupy a lot
in a free economic zone and declared eligible
by the review and resolution of
the Free Economic Zone Committee
Full relief from customs duties,
excise tax and value-added tax
(five years, 100%)
The introduction of capital goods falling within the scope of
Articles 2 (1) 8 and 2 (1) 9 of the FIPA
Any operation conducted by a foreign-invested
company occupant of a free economic zone
or by a foreign-invested company that is also
adeveloperofthedevelopmentprojectforthezone
Full relief from customs duties
(five years, 100%)
Municipal
taxes
Acquisition
tax
Any operation conducted by a foreign-invested
company occupant of a free economic zone
or by a foreign-invested company that is also
adeveloperofthedevelopmentprojectforthezone
Full relief for fifteen years
Property
tax
Foreign-invested companies
Full relief for ten years,
and 50% relief for the next
five years
Any operation conducted by a foreign-invested
company occupant of a free economic zone
or by a foreign-invested company that is also
adeveloperofthedevelopmentprojectforthezone
Full relief for six years,
and 50% relief for the next
four years
Title Eligibility Benefits Investment requirements
Locational
assistance
Foreign-invested
companies
. The provincial government purchases and
leases out land.
. Grants for differences between lot prices and
site preparation costs
(May exceed 50% of ordinary lot prices.)
. Foreign investors hold the largest or 30% or more interest.
. Awards grants for the differences between the ordinary prices and
the lot prices set forth in the contracts.
. Required to conduct the operations specified in the operating
plan for ten years or more
T r a i n i n g
grants
Foreign-invested
companies
. Up to 500,000 won per month for a period not
exceeding six months for every person
(for up to five years and up to 1 billion won per company)
. Foreign investors hold the largest or 30% or more interest.
.For every person in excess of twenty new jobs for residents of the province
. Employment be maintained for three years or more
Employment
grants
Foreign-invested
companies
. Up to 500,000 won per month for a period not
exceeding six months for every person
(for up to five years and up to 1 billion won per company)
. Foreign investors hold the largest or 30% or more interest.
. For every person employed on a full-time basis in excess of
twenty new jobs
. Employment be maintained for three years or more
Cash grants
Foreign-invested
companies
. Factory and research establishment building costs
. Employment, training grants etc.
. Foreign investors hold 30% or more interest.
. Cannot be awarded at the same time with locational assistance,
training grants or employment grants.
Type Eligibility Incentives Investment
requirements
Locational
assistance
Foreign-invested company occupants
Reduction in or exemption from lease fees for property owned by state and local governments
(up to 100% of the fees; municipal ordinances are applicable to property owned by local governments.)
Development project owners and
foreign-invested company occupants
No-bid contracting for the use permit, leasing and sale of property owned by state and local governments
Exceptions to the
application of
other laws
Foreign-invested company occupants
. Exceptions to the otherwise mandatory employment of persons of national merit,
eligible veterans, the disabled and the elderly
. Unpaid leave permitted
. May extend the range of jobs subject to labor outsourcing and the outsourcing period.
. May lease property owned by state and local governments and erect permanent facilities thereon.
Improved living
conditions for
foreigners
Foreign-invested company occupants
and foreigners
. Issuance of government documents in foreign languages, the filing and processing of
documents written in foreign languages, etc.
. Payments for current transactions up to 10,000 dollars may be made using international
means of payment between parties to the transactions.
. Establishment and operation of foreign educational institutions
. Opening of foreign healthcare providers and/or exclusive pharmacies for foreigners
. Operations incidental to healthcare operations (Boyang Hot Springs, bath house operations,
tourism and accommodation services, and international conference services)
. Permits for casinos for foreigners
. Retransmission of foreign broadcasts
. Provision of lots for rental housings for foreigners
. Allowed exceptions in the procedures for issuing visas to foreigners and the lengths of stay
Priority assistance
for infrastructure
· Priority assistance for the costs of installing infrastructure
(50% from state funds; the full costs if the committee deliberates and passes resolutions)
05
Incentives
20 . ChungBuk Free Economic Zone ChungBuk Free Economic Zone . 21
Foreign-invested companies
12. 35
District Size(㎢) Target business
Osong Biomedical District 1.13
Medical research and development facilities and clinical
trial centers
Osong Biotech Convergence
Industrial District
3.28
Bioinformatics convergence medical device manufacturers
and biotech education and healthcare providers
Cheongju Aeropolis District I 0.15 Aviation MRO complex
Cheongju Aeropolis District II 0.32 Aviation industrial complex
Chungju Ecopolis District 4.20
Automotive electronics industries, logistics and dis-
tribution industries, and non-conventional renewable
energy industries
CBFEZ shows
tremendous future
22 . ChungBuk Free Economic Zone ChungBuk Free Economic Zone . 23
Development plans by district
ChungBuk Free Economic Zone
13. Bio-Valley Osong-eup, Cheongju-si, Chungcheongbuk-do
Location
Size
Key business activities to attract
. Osong Biomedical District occupying 1.13 km2
. Osong Biotech Convergence Industrial District occupying 3.28 km2
. Osong Biomedical District (the Osong High-Tech Medical Complex):
Medical research and development facilities,
high-tech clinical trial centers, research hospitals, etc.
. Osong Bio-ConvergingIndustrial District(theSecondOsongBioscienceComplex):
Bioinformatics convergence medical device manufacturers and foreign
biotech education and healthcare providers
4.41 km2
Biotech cluster
. The Osong Bioscience Complex, the only biomedical industrial
complex across the country
. The Osong High-Tech Medical Complex), a medical research
support complex of global stature
Hightech medical complex
. Osong Health Technology Administration Complex, whose occupants
include top six government-funded healthcare and medical agencies:
The Ministry of Food and Drug Safety, the Korea Centers for Disease
Control and Prevention, the National Institute of Food and Drug Safety
Evaluation, the Korea National Institute of Health, the Korea Health
Industry Development Institute, and the Korea Human Resource
Development Institute for Health and Welfare
. Top four national research and development support facilities
completed (Nov. ’13):
The New Drug Development Center, the Medical Device
Development Center, the Laboratory Animal Center,
and the Clinical Drug Manufacturing Center
. National biomedical facilities:
The National Biobank of Korea, the National Center for Medical
Science Information, the Stem Cell Regeneration Research Center,
and the High-Risk Pathogen Research Center
. More than 60 high-tech pharmaceutical and medical device
manufacturers including CJ and LG Life Sciences
. Biotech-related colleges (4 departments at 3 colleges) and
research establishments (120)
Easy accessibility across the country
1 minute distance to KTX Osong junction station
(2 hour access to anywhere in the country), 20 minute distance to
Cheongju International Airport, and 10 minute distance to Sejong-si
Key district for medical tourism
The proximity to Cheongju International Airport and biotechnology
industry infrastructure help attract general hospitals and medical
tourists from other countries.
The dream of
a healthy and long life
comes true in BioValley,
the land of life.
24 . ChungBuk Free Economic Zone ChungBuk Free Economic Zone . 25
< Osong Bio-Converging
Industrial District
Osong Biomedical District >
Investment consulting and questions:
+82-43-220-8361 through 5
14. Naesu-eup, Cheongju-si, Chungcheongbuk-do
26 . ChungBuk Free Economic Zone ChungBuk Free Economic Zone . 27
District I >
< District II
Aero-polis
Location
Size
. Cheongju Aeropolis District I occupying 0.15 km2
. Cheongju Aeropolis District II occupying 0.32 km2
0.47 km2
Key business activities to attract
. District I (Aviation MRO Complex): the overhaul and modification of aircraft,
aviation training and research facilities, etc.
. District II (Aviation Industry Complex): aircraft MRO, components,
logistics and other related industries
Cheongju International Airport,
an optimal toehold in the Asian MRO markets
. International airport operated around the clock
. Hub airport in the Jungbu region and gateway airport to Sejong-si
. The electrified railway for the Seoul metropolitan area is slated
for extension to Cheongju International Airport.
MRO hub to lead the aerospace
industries of Northeast Asia
. The rapid growth of Asian low cost airlines is expected to result in
an increase in the demand for MRO services.
. Best location for minimizing processing time
. Strategic point for transportation and logistics sitting
at the center of the country
. Central government determined to develop the aviation MRO industry
. Designated as an aviation MRO pilot site in 2009 and mentioned
as a favorable hub for aviation MRO in 2010
. Accommodates businesses specializing in aviation.
Country’s largest R&D cluster
The Ochang Science and Industry Complex, Osong BioValley,
the Asia Solar Valley, the International Science and Business Belt,
and the Daedeok Research Complex
(the largest national science research complex in Korea)
TheAeropolis
complete
future-oriented
aviation industries.
Investment consulting and questions:
+82-220-8371 through 4
Training of human resources customized
for the aviation MRO industry
. Some 480 MRO personnel trained each year at 5 colleges
and 1 specialized vocational high school in the province
. Pooling system linking aviation workforce and the MRO
industry at the Aeropolis
Bio-Valley
15. 4.20 km2
28 . ChungBuk Free Economic Zone ChungBuk Free Economic Zone . 29
Jungangtap-myeon, Chungju-si
Eco-polis
Location
Size
Key business activities to attract
. Automotive electronics manufacturers:
Automotive electronics components field test
centers, automotive DME-related test beds, etc.
. logistics and distribution industries, NCRE industries, etc
Optimal place for logistics and
distribution industries
. Roads: 5 km to the Bukchungju Interchange
on the Pyeongtaek-Jecheon
Expressway and 80 km to the Dongseoul Interchange
. Railroad: Near the ChungBuk Line; the Chungju-Icheon section of
Jungbu Naeryuk Line to be completed by 2016
(A freight yard is slated to open within the district.)
. Air transportation: 30 minutes to Cheongju International Airport
. Marine transportation: 1 hour to Pyeongtaek Port
Automotive industry-academic
collaboration cluster
. Hyundai Mobis, the top automotive electronics manufacturer
in the country, and other automotive parts manufacturers
are occupying lots.
. Alternative green fuel (dimethyl ether) MOUs and MOAs signed
among the Chungju-si government, the Korea National University
of Transportation, Korea Gas Corporation, and the Korea Automotive
Technology Institute to develop and disseminate automotive technologies
. The Korea National University of Transportation, the only university
specializing in transportation within the country,
and Korea Polytechnics IV at Chungju
. The Environmentally Friendly Transportation Technology Center of the
Korea Automotive Technology Institute has opened.
Emerging as one of the key cities in the
central inland region
. The successful development of the Chungju Enterprise City,
the Megapolis
and high-tech industrial complexes in its vicinity creates synergy.
Water leisure and sports facilities,
Chungju Lake, Three-Color Hot Springs
(Suanbo, Angseong and Mungang spas) and other recreational
resources are abundant.
Nature friendly
Ecopolis created
by people, industries
and nature
Investment consulting and questions:
+82-220-8631 through 3
Aero-polis
16. A land of boundless potential and opportunities
where nature, people and
industry are in harmony!
30 . ChungBuk Free Economic Zone
Eco-polis
