About Free Trade Zone
Investment information
Area information
News and resources
전체메뉴

Investment information

A shining beacon for investment in global trade! Korean Free Trade Zones

Tenant guide

Eligibility requirements for Free Trade Zone tenants

  • The following entities are eligible to move into a Free Trade Zone: manufacturing companies or companies returning to Korea whose main purpose is to export products; domestic companies in the knowledge service industry or foreign-invested companies in the knowledge service industry; wholesale companies whose main focus is on import/export transactions; comprehensive logistics companies tasked with unloading, storing, transporting, and exhibiting goods; businesses that support tenant companies; public institutions; and government institutions.
  • Also, companies that fall under the manufacturing or knowledge service industry that fail to meet the requirements, such as the weight/proportion of exports, may move into a Free Trade Zone if they are deemed necessary in facilitating international logistics, regional development, and export promotion.
Sort Tenant eligibility​
Export-oriented manufacturing companies
  • Companies whose exported amount for the past three years from the date of application for a leasehold contract in the Free Trade Zone have accounted for at least 50% of total sales for a minimum period of one year (consecutively)
    - Minimum 30% of all tenants must be small and medium-sized enterprises, minimum 40% of all tenants must be medium-sized businesses

Companies returning to Korea whose primary purpose is to export products
(companies selected as a returning company eligible for residency at a Free Trade Zone)
  • Companies whose exported amount, excluding exports to Korea, for the past three years from the date of application for a leasehold contract in the Free Trade Zone have accounted for at least 50% of total sales for a minimum period of one year (consecutively)
    - Minimum 30% of all tenants must be small and medium-sized enterprises, minimum 40% of all tenants must be medium-sized businesses
Foreign-invested companies
(manufacturing or knowledge service industry)
  • Companies with foreign investments of KRW 100 million or more, with at least 10% of the total number of outstanding shares or total investment owned by foreign investors, and whose exported amount for the past three years from the date of application for a leasehold contract in the Free Trade Zone have accounted for at least 50% of total sales for a minimum period of one year (consecutively)
Knowledge service companies (export)
  • Companies with foreign investments of KRW 100 million or more, with at least 10% of the total number of outstanding shares or total investment owned by foreign investors, and whose exported amount for the past three years from the date of application for a leasehold contract in the Free Trade Zone have accounted for at least 5% of total sales for a minimum period of one year (consecutively)
Wholesale companies whose main purpose is import/export transactions
  • Companies whose exported/imported trade amount for the past three years from the date of application for a leasehold contract in the Free Trade Zone have accounted for at least 50% of total sales for a minimum period of one year (consecutively)
    - Minimum 30% of all tenants must be small and medium-sized enterprises, minimum 40% of all tenants must be medium-sized businesses
Comprehensive logistics-related companies
  • Logistics companies tasked with loading, unloading, transporting, storing, and exhibiting goods, and comprehensive logistics-related companies tasked with arranging international transportation, executing international shipping transactions, packaging, repairing, processing, or assembling goods
Export start-up companies
  • Start-up companies in the manufacturing and knowledge service industries with less than seven years from their date of foundation are permitted to move in on the condition that they meet the tenant eligibility requirements for up to five years upon moving into a Free Trade Zone

Prioritized businesses for Free Trade Zones​

Companies in high-tech industries, new growth engine industries, and industries that attract foreign investment in connection with regional strategic businesses are given priority as prospective Free Trade Zone tenants.

Businesses restricted from Free Trade Zones​​

In principle, there are no restrictions on the type of business allowed residency in a Free Trade Zone. However, to protect vulnerable domestic industries or public health, the following businesses may be prohibited from entering a Free Trade Zone.​

  • Pursuant to Article 73 of the Customs Act and Annex 1-B of the “Concession Tariff Regulations under the WTO Agreement, etc.,” a company that manufactures and processes goods made from agricultural, forestry, and livestock products, which have been granted concession at a rate equivalent to the price difference at home and abroad.
  • A company recognized by the administrative authority as a business that manufactures/processes goods that interfere with public health, inhibit environmental conservation, or harm good manners and customs. Here, the administrative authority must first consult with the head of the customs office in charge of the area that manages the import/export of goods when entering into a contract with a company that is restricted from moving into a Free Trade Zone.​

Moving in for Free Trade Zone tenants​

Request tenancy consultation​

Consult and confirm whether the company is an eligible company as stipulated in Article 10 of the Act on Designation and Management of Free Trade Zones and Article 7 of the Enforcement Rules of the same Act.​

Apply for registration as a foreign-invested company

  • Register as a foreign-invested company within 30 days when the introduction of foreign capital is completed.​​
  • Required documents
  • 1 copy of the foreign-invested company registration application available under the Foreign Investment Promotion Act
  • 1 copy of the foreign currency purchase (deposit/withdrawal) statement​
  • 1 copy of the corporate registration (business registration certificate for individual entrepreneurs)

Apply for tenancy contract

  • 1 copy of the tenancy contract application
  • 1 copy of the company’s business plan (including supporting documents for exporting business, etc.)
  • 1 copy of foreign-invested company registration certificate (only for foreign-invested companies)
  • Other documents proving that the company has obtained authorization, permission, license, registration, etc. for the relevant business activities​​

Request review and receive approval for tenancy contract

Pursuant to Article 11 of the Act on Designation and Management of Free Trade Zones, request review and receive approval on whether the company is eligible for tenancy at a Free Trade Zone.​

Apply for tax reduction or exemption for foreign investments

  • When a foreigner invests in a company inside a Free Trade Zone, various tax reductions and exemptions are provided regardless of the type of business or scale of investment.
  • Required documents: 3 copies of tax reduction or exemption application (application under the Restriction of Special Taxation Act)​​​​