Eligibility (Eligible Business Categories
Applicable only to foreign-invested enterprises (FIEs) established through share acquisition investment where the foreign investment ratio is 30% or more. Investments made through long-term loans are not eligible for support.

1. New Growth Engines
Industries related to new growth engine and core technologies, including materials and process technologies directly associated with new growth technologies.
※ Relevant Regulation: Article 121-2 (1) 1 of the Restriction of Special Taxation Act, Annex 7 of the Enforcement Decree of the same Act, and Annex 14 of the Enforcement Rule of the same Act.

2. High Technology
Establishment or expansion of factories or facilities for high-tech industries and advanced products.
※ Relevant Regulation: Article 5 of the Industrial Development Act, MOTIE Notification No. 2019-121 (July 26, 2019), “Scope of High Technology and Products,” Annex 1.

3. Materials, Parts, and Equipment
Industries related to materials, components, and equipment, including:
Textiles, pulp, chemicals, pharmaceuticals, rubber, plastics, non-metallic minerals, primary metals, fabricated metals, electronic components, computers, audiovisual and communication equipment, medical/precision/optical instruments, electrical equipment, machinery, automobiles/trailers, other transportation equipment, and furniture.
※ Relevant Regulation: Article 2 of the Enforcement Decree and Annex 1 of the Enforcement Rule of the Special Act on the Strengthening of Competitiveness of Materials, Parts, and Equipment Industries.

4. Job Creation
Foreign-invested enterprises hiring at least:
300 employees in manufacturing, construction, transportation, or information services, 200 employees in wholesale/retail, accommodation, finance/insurance, professional/scientific/technical, or leisure services, 100 employees in education services or other personal service industries, 50 employees in real estate and rental businesses.
※ Relevant Regulation: Annex 2 of the Enforcement Decree of the Foreign Investment Promotion Act.

5. R&D Centers
Enterprises hiring five or more dedicated research personnel (master’s degree holders or bachelor’s degree holders with at least three years of research experience) in fields related to:
New growth engine technology, high technology and advanced products, or materials/parts-related projects,
and establishing or expanding research facilities.
※ Relevant Regulation: Article 14-2 (1) 5 of the Foreign Investment Promotion Act.

6. Regional Headquarters
Global companies establishing a regional base that supports and coordinates two or more overseas subsidiaries’ core functions, such as production, sales, logistics, and human resources.
Requirements include: Parent company annual sales of at least KRW 3 trillion, Foreign shareholding of 50% or more, and At least 10 full-time employees per core function. Such bases are designated by the Minister of Trade, Industry and Energy following deliberation by the Foreign Investment Committee.
※ Relevant Regulation: Article 9-3 of the Enforcement Rule of the Foreign Investment Promotion Act.

7. Others
Enterprises belonging to regional strategic industries or mega-regional industries recognized as contributing to local economic development.
※ Relevant Regulation: Article 2 (6) and (8) of the Special Act on Decentralization and Balanced Regional Development.
Replacement of existing factory facilities with new facilities classified as national strategic technology, new growth engine technology, or high-tech and advanced product industries.

※ Relevant Regulation: Article 24 (1) 2(a)2), Article 121-2 (1) 1 of the Restriction of Special Taxation Act,
and Article 5 (1) of the Industrial Development Act.




Application Documents
A foreign investor seeking to receive a cash grant must submit an Application for Cash Grant and a Detailed Investment Plan, along with all required supporting documents, to the Ministry of Trade, Industry and Energy (MOTIE).

Evaluation of Support Eligibility
To determine whether the applicant qualifies for cash support, the Evaluation Committee, composed of experts in foreign investment, technology, finance, and industry, is convened by the Ministry of Trade, Industry and Energy.
The committee evaluates factors such as: Level of technological advancement and technology transfer potential, Scale of job creation, Duplication with domestic investment, Impact on local and national economies, and Feasibility and sustainability of the proposed investment.

Assessment of Support Limits
To determine the maximum supportable amount, a Limit Assessment Committee is convened, consisting of negotiation officials and at least two external private-sector experts. the committee evaluates: Investment alternatives outside of Korea, the scale and quality of job creation, Site suitability, and the expected impact on local and national economies. Following this review, the committee submits a Report of Results to MOTIE, and negotiations are conducted with the foreign investor within the approved limit.

Negotiation and Determination of Grant Amount
The final decision on cash support is made by MOTIE after consultation with the Ministry of Economy and Finance and the relevant local government, and after deliberation and resolution by the Foreign Investment Committee. The grant is then provided upon conclusion of a cash grant agreement.
However, when the cash grant amount (excluding site support) is less than KRW 1 billion, the decision may be made through deliberation and resolution by the Foreign Investment Working Committee.
- Processing Period: Unless there are special circumstances, the decision regarding the cash grant must be made within 60 days from the date of application receipt, which may be extended by up to 30 additional days if necessary.

Payment Method
Cash grants may be paid: In a lump sum within one year of the contract signing date, or In installments (up to 10 payments) over a period not exceeding five years from the contract date.
The applicant must establish a separate account for the received cash grant, clearly distinguishing its income and expenditures for accounting purposes.
In the case of installment payments, the applicant must submit a written application specifying the amount, purpose, and use of the grant for that fiscal year. Payment is made after an evaluation of the investment expenditure performance or cash grant execution record, and the amount and timing of the payment may be adjusted accordingly.

Category	Payment Method
Land Purchase Costs	Paid in installments as intermediate or final payments after the land purchase agreement is concluded.
Land Lease Fees	Paid according to the lease contract between the applicant and the owner or manager of the leased property.
Construction Costs, Capital Goods, Research Equipment, Infrastructure (Electricity/Communication Facilities, etc.)	Paid based on evaluation of investment expenditure performance.
Education and Training Subsidy / Employment Subsidy	Paid based on the evaluation of employment performance during the investment period.
Others	Other matters related to the payment and recovery of cash grants shall comply with the Subsidy Management Act and the Local Finance Act.

※ Relevant Regulation: Article 13 of the “Guidelines for the Operation of the Cash Grant System”

Contract Execution
Once the cash grant is approved, a contract is executed among the Minister of Trade, Industry and Energy, the Governor (or Mayor) of the relevant metropolitan local government, and the applicant (foreign investor).
The contract stipulates: The grant period, Payment method of the cash grant, and Matters related to the acquisition or lease of land and other related conditions.

Category	Capital Region (National : Local)	Non-Capital Region (National : Local)
Land / Building Purchase or Lease, Facility Construction, Capital Goods and Research Equipment Purchase, Infrastructure Installation	30 : 70	60 : 40
Employment and Training Subsidies	50 : 50	50 : 50

※ Source: Gyeonggi Foreign Investment Support Center – Cash Grant Support Guidelines