Gyeonggi Province Yellow Sea Free Economic Zone Authority Succeeds in Attracting Root Technology Semiconductor Companies and Foreign Investment
Createdd 2018-10-11 Hit 36
The Yellow Sea Free Economic Zone Authority of Gyeonggi Province succeeded in attracting foreign investment in collaboration with domestic industries.
Lee Hwa-soon, the President of the Yellow Sea Free Economic Zone Authority, Ha Jeong-hyeon, the President of BETECH, Kim Sun-rae, the President of CUBIT Singapore, and Kim Young-hae, a Member of the Gyeonggido Assembly (from Pyeongtaek) signed an investment agreement at 11am on September 27 at the Pyeongtaek Harbor Marine Center.
Through this agreement, BETECH will receive a total of USD 20 million (foreign direct investment of USD 5 million) from CUBIT Singapore; the funds will be used to purchase a lot of 3,300㎡ in Pyeongtaek BIX (Business & Industry Complex) and to produce new material components for use in semiconductor equipment, displays and medical equipment.
Established in 2005, CUBIT is a Singaporean semiconductor equipment recycling and component business with KRW 15 billion in annual revenue. The company has been buying semiconductor equipment components from Korea for global export. BETECH is a Korean root technology company (with expertise in six technical fields: casting, molding, welding, plastic working, surface treatment and heat treatment) that has extensive know-how in precision processing and grinding technology. The company has been struggling to secure funds and pioneer the market. Last November, BETECH received a consultation on foreign-investment attraction and the export-merger investment model from the Yellow Sea Free Economic Zone Authority in the process of discussing their relocation to Pyeongtaek BIX, and finally succeeded in securing investment after a year of hard work in collaboration with the Yellow Sea Free Economic Zone Authority.
Through this agreement, CUBIT receives high-quality new materials and BETECH receives a secure investment as well as an opportunity to focus on technological development instead of worrying about foreign marketing. BETECH is expected to see a sales increase of KRW 50 billion over the next five years.
“We will continue to establish successful foreign investment models like BETECH’s, in hosting foreign technological industries of the fourth industrial revolution and in attracting foreign investment for domestic companies,” Yellow Sea Free Economic Zone Authority President Lee Hwa-soon stated
BETECH’s President Ha Jeong-hyeon and CUBIT’s President Kim Sun-rae expressed that “active cooperation from the Yellow Sea Free Economic Zone Authority in hosting investment was remarkable. We also plan on pursuing the biomedical business for avian influenza (AI) virus prevention.” BETECH and CUBIT will begin their construction in March next year.
The Yellow Sea Free Economic Zone Authority oversees 620,000㎡ of chemical, mechanical, electronic, and automotive industry land, and is not restricted by the Seoul Metropolitan Area Readjustment Planning Act as it operates under the Special Law for Free Economic Zones. To foreign-invested companies, the authority can offer incentives such as tax reductions and private contracts. The authority is also able to work in collaboration with Samsung and LG, as well as other promising domestic small businesses.