The Ministry of Trade, Industry and Energy (MOTIE) has announced a legislative notice for significant regulatory reforms in industrial complexes and knowledge industry centers. These amendments aim to stimulate investment in high-tech and emerging industries while enhancing the competitiveness of industrial complexes through expanded cultural, sports, and convenience facilities. MOTIE has collected feedback from businesses, local governments, and related organizations, and collaborated with research institutes to identify and address regulatory challenges. The reforms involve amendments to the Enforcement Decree and Rules of the Act on Industrial Cluster Development and Factory Establishment, as well as management guidelines.
The legislative notice periods are as follows: Enforcement Decree from January 20 to March 3, 2026; Enforcement Rules from January 12 to February 23, 2026; and management guidelines from January 20 to February 9, 2026. Key changes include allowing electrical, IT, and fire safety contractors to enter industrial complexes, expanding the scope of knowledge and IT industries from 78 to 95 sectors, and increasing high-tech sectors from 85 to 92. For example, manufacturers can now register construction businesses at their factory sites, eliminating the need for separate offices. These changes are expected to ease business burdens and promote new industry entries.
MOTIE expects the reforms to boost new industry occupancy in industrial complexes, reduce vacancies in knowledge industry centers, and stimulate high-tech investment. Semiconductor material manufacturers in the Seoul metropolitan area, for instance, can now expand factories with KRW 200 billion in foreign investment due to the broadened high-tech classification. The reforms also allow cultural and sports facilities within factories to be opened to local residents for free, supporting corporate social responsibility. Additionally, cultural, sports, and renewable energy facilities can now be established in green zones and reclaimed landfill sites, and cafes or convenience stores can be set up in factories without changing building use.
Looking ahead, industrial complexes are set to become hubs for high-tech and emerging industries, as well as spaces for workers and residents to enjoy cultural and leisure activities. MOTIE is also streamlining administrative procedures by enabling electronic notifications and remote site inspections for non-manufacturing businesses. The ministry will continue to actively gather feedback from businesses and residents to swiftly improve unnecessary regulations. These changes mark a significant turning point for sustainable industrial development and community coexistence.
The rationalization of industrial complex regulations is poised to accelerate high-tech investment and innovation, while transforming industrial zones into community-oriented spaces. The opening of cultural and sports facilities to the public and the inclusion of renewable energy infrastructure align with ESG management and social contribution trends. Digitalizing administrative processes and easing regulations will not only reduce corporate burdens but also enhance the flexibility and competitiveness of Korea’s industrial ecosystem.