Overseas Industrial Parks
In a bid to help domestic small and medium enterprises (SMEs) with overseas market expansion, the Korea Land and Housing Corporation (LH) will directly create industrial complexes in China and Vietnam.
The government included a “New Industry Strategy” to help domestic companies to push into the global market in its “2016 Economic Policy Directions” released on Dec. 16. Jeong Eun-bo, deputy minister of strategy and finance, said, “When companies individually enter the global market, they can be exposed to many risks such as procedures and country risks. We will actively develop overseas industrial complexes in order to serve the overall convenience of SMEs that particularly seek overseas business expansion.”
First of all, the government will develop overseas industrial complexes in major hotspots such as China, Vietnam and Myanmar. To reduce overseas risks, it is considering forming a consortium with local companies to do so.
The government will also establish centers, tentatively called Korean Business Centers, in New York, Beijing and Ho Chi Minh, so that it can use buildings owned by domestic institutions in areas as strong points. The center will be designed to support companies that have extended their businesses to the area by gathering business support service providers, including lawyers, accountants, human resources experts, and designers, in one place.
In addition, the government plans to create overseas venture complexes in a bid to arrange a space for and intensively foster companies in promising areas in which venture companies should run businesses such as Silicon Valley, Shanghai and New York.