The Gyeonggi Free Economic Zone (GGFEZ) is driving the growth and development of three districtsPoseung BIX and Hyeondeok in Pyeongtaek City, and Baegot in Siheung City—establishing itself as the hub of Korea’s West Coast and a focal point for innovation in emerging industries.

By actively engaging in domestic and international investor relations (IR), identifying potential investors, strengthening networks with relevant institutions, and crafting tailored strategies for different countries, GGFEZ continues to enhance its investment promotion capacity. It aims to create a free economic space where industries converge and people choose to live.

Invest KOREA speaks to Neungsik Kim, Commissioner of the Gyeonggi Free Economic Zone Authority, about its achievements, vision, and development plans. Read on to find out more.

What are the characteristics and current status of GGFEZ’s three business districts?

GGFEZ is strengthening its global competitiveness based on Poseung (BIX) District (2.04 km2) and Hyeondeok District (2.32 km2) in Pyeongtaek City, and Baegot District (0.88 km2) in Siheung City.

Poseung (BIX) District, an eco-friendly future mobility cluster, is establishing an ecosystem for the automotive, semiconductor, and chemical industries.

Hyeondeok District, by transitioning to public development in 2024, is rapidly emerging as a hydrogen economic city as well as a semiconductor and smart logistics hub. We plan to develop it into a balanced model that integrates jobs, housing, and industry.

Baegot District is promoting unmanned land/sea/air-based vehicles and biomedical innovation clusters simultaneously. By attracting Seoul National University Hospital, it is evolving into a next-generation city that combines residential comfort and research facilities.

The GGFEZ Authority received an “S Grade,” the highest rating, in nationwide performance evaluations conducted by the Korean Ministry of Trade, Industry and Energy of nine free economic zone authorities in 2024 and 2025. This clearly demonstrates our efforts to strengthen future industrial competitiveness by leading the way in strategic investment attraction and the creation of a hydrogen-based economic city centered on Poseung (BIX) and Hyeondeok.

What are the advantages offered to foreign-invested enterprises looking to invest in GGFEZ?

GGFEZ’s foremost strength lies in its world-class logistics location and the concentration of industrial ecosystems in the Korean capital region.

Its proximity to Pyeongtaek Port, Incheon Port, Gimpo Airport, and Incheon International Airport enables access to major Northeast Asian markets such as China and Japan within two hours. This offers an ideal business environment for foreign investors to accelerate production, distribution, and exports.

With excellent talent and R&D infrastructure in the Korean capital region, as well as R&D networks linking the cities of Seoul, Suwon, and Seongnam (Pangyo Techno Valley), companies can easily secure cutting-edge technology and skilled researchers, expediting new technology development and commercialization.

Global enterprises, such as Samsung Electronics, Hyundai Motor Company, Kia, and LG Electronics, have already established a collaborative ecosystem in the region, which enables components and materials companies, startups, and research institutes to grow together. The fact that the GGFEZ is located in the Korean capital region, where approximately 40% of the country’s knowledge-based manufacturing industries are concentrated, is a key attraction for investors.

What are some ongoing projects that GGFEZ is focusing on this year?

To secure new growth engines and attract future-oriented industries, GGFEZ is working to designate new districts: Songpo and Gajwa in Goyang City (17.6 km2) and Ansan Science Valley (ASV, 1.66 km2).

The two districts in Goyang City (Songpo and Gajwa) will be developed as a hub for Korean culture and international tourism, and Ansan Science Valley as a global R&D base for advanced robotics and manufacturing. In October, construction of Seoul National University Hospital in Baegot will begin, providing core infrastructure for the biomedical R&D cluster and improving both the local innovation and residential environments.

To enhance the competitiveness of resident companies, we are working to open up new overseas markets, support research and demonstrations, and establish a youth entrepreneurship support center.

We are also striving to create a pleasant investment environment by revising district unit plans (district-level urban planning).

Can you share about the achievements and key success stories regarding foreign direct investment (FDI) in GGFEZ?

FDI in GGFEZ has surged from just over USD 8 million in 2020 to USD 20 million in 2024—an increase of approximately 147%. The number of resident companies has grown from 12 to 52, while employment has risen from 307 to 7,967, a remarkable jump of 2,495%.

In 2024 alone, GGFEZ signed six investment MOUs with leading companies such as Hantok Chemicals and Fusso Korea in the semiconductor, automotive, and display sectors. Global anchor firms, including Air Products Korea, TOK Advanced Materials, Hyundai Mobis, and ESR Kendall Square, have also invested, enhancing the zone’s brand value.

GGFEZ has established a virtuous ecosystem of investment, innovation, and employment centered on strategic industries, such as advanced manufacturing, green energy, global logistics, biomedical, and more. By solidifying the global network, GGFEZ is establishing itself as a leading business hub in Northeast Asia.

What is GGFEZ’s future vision and development strategy?

GGFEZ will strengthen its position as the economic hub of Korea’s West Coast by creating a free economic zone where industries gather and people thrive.

GGFEZ plans to switch the industrial ecosystem from one centered on large enterprises to a multi-layered structure, expanding the attraction of cutting-edge SMEs and venture startups.

In addition to the Goyang and Ansan districts currently in progress, we will further expand district designation by reviewing the feasibility of candidate areas, including the cities of Uijeongbu, Paju, and Suwon, and through cooperation with relevant organizations.

Of particular note, GGFEZ will concentrate on developing Hyeondeok District as a future-oriented economic city through strategic investments in hydrogen infrastructure, smart logistics, and eco-friendly vehicle clusters. We will also attract companies in renewable energy production, storage, and utilization, as well as smart logistics, while establishing automotive distribution and sales networks linked to the green vehicle cluster. Additionally, tourism-related enterprises will be encouraged through linkage with the Pyeongtaek Lake Development Plan, advancing GGFEZ as a growth hub offering an optimal investment environment.

By advancing each district’s projects in line with its strategy, GGFEZ will consolidate its role as one of Korea’s core engines of growth. We will continue to expand our global networks through overseas IR, participation in international exhibitions, and customized investment briefings, building a forward-looking economic ecosystem in which investment, innovation, and employment reinforce one another.