The Governor of Gyeonggi Province Nam Kyung-pil succeeded in persuading the world’s No.1 car tuning business to invest in the province on his first visit to Europe following his inauguration.

In a ceremony held in Kempten, Allgau, Germany at 3:00 PM on October 13, Governor Nam Kyung-pil signed a letter of intent concerning the investment of $100 million, along with the representatives of ABT, the world’s No.1 car tuning business, Brabus, Techart, and AC Schnitzer, as well as A-Seung Automotive Group* (CEO Cha Ji-won), the companies’ sole sales agent in South Korea, President Kim Byung-ok of Shinhan University, and CEO Jeong Jong-tae, the head of KOTRA’s regional headquarters in Europe.

This is the first time that any German car tuning business has expressed its intention to invest directly in South Korea. On the day, the four German businesses promised to provide human resources, equipment, and technology-related support for the construction of a comprehensive cluster, including a design center for training tuning professionals, a museum for dissemination of the relevant culture, and a circuit course. Shinhan University, which is located in northern Gyeeonggi Province, expressed its willingness to launch a car tuning-related course and provide a parcel of its land for construction of the relevant facilities.

According to the comprehensive plan for invigoration of the country’s car tuning market as announced by the Ministry of Land, Infrastructure and Transport (MOLIT), the current domestic car turning market is worth around 500 billion won a year, but is projected to grow to about 4 trillion won by 2020 with the promotion of the invigoration policy. As such, it was selected as a new job creation industry by the government in April of this year.

CEO Cha Ji-won of A-Seung Automotive Group* said, “The car tuning industry is a design industry for consumers who want to display their own unique taste. Parts repair or replacement is not all there is to car tuning. It is necessary to establish a proper car tuning culture by training professionals with the government’s proactive support, as it is directly linked to drivers’ safety.”

In the speech he delivered at the event, Governor Nam Kyung-pil said, “Gyeonggi-do is the mecca of the South Korean automotive industry. The province envisions itself as the site of the next-generation automotive industry. That is part of my vision of Next Gyeonggi and Next Industry. The car tuning industry is expected to develop into a new sector that will create many jobs and help invigorate the local economy. We at Gyeonggi Province will provide proactive administrative support for that sector.

The Gyeonggi Province plans to announce a specific investment plan of the four German tuning businesses after launching a task force team composed in part of its representatives and members of A-Seung Automotive Group.

*A-Seung Automotive Group is the sole sales agent in Korea of a number of big-name car tuning businesses including ABT (tuning for Audi and Volkswagen), Brabus (Benz), Techart (Porsche), AC Schnitzer (BMW and MINI), Novitec (Ferrari and Lamborghini), and Startech (Jaguar and Land Rover).