OPERATION GUIDELINES FOR THE CASH GRANT SYSTEM
Public Announcement No. 200839, Feb. 13, 2008
Amended by Public Announcement No. 2008182, Jul. 22, 2008
Public Announcement No. 2009327, Aug. 21, 2009
Public Announcement No. 2010299, May 3, 2010
Public Announcement No. 201225, Jan. 17, 2012
Public Announcement No. 2012163, Mar. 26, 2012
Public Announcement No. 2014304, jun. 27, 2014
Public Announcement No. 2017519, Oct. 30, 2017
Public Announcement No. 2018360, jun. 26, 2018
CHAPTER I GENERAL PROVISIONS
| Article 2 (Scope of Application) |
| (1) | Cash grants to foreign capital-invested companies shall be governed by these Guidelines except as otherwise expressly provided for in the Act, the Enforcement Decree, or the Enforcement Rule (hereinafter referred to as the “Rule”; and hereinafter collectively referred to as the "statutes"). |
| (2) | Necessary matters concerning cash grants to foreign capital-invested companies shall be determined by the Minister of Trade, Industry and Energy, subject to deliberation by the Foreign Investment Commission (hereinafter referred to as the “Investment Commission”). |
CHAPTER II APPLICATION FOR, PAYMENT OF, CASH GRANT
| Article 3 (Foreign Investment Eligible for Cash Grant) |
| (1) | The cash support for foreign investment under Article 14-2 of the Act (hereinafter referred to as “cash grant”) shall be limited to where the ratio of foreign investment is at least 30 percent. |
| (2) | Foreign investment defined in subparagraph 4 (b) of Article 2 of the Act shall not be eligible for cash grants. |
| Article 4 (Application for Cash Grant) |
| (1) | A foreigner who intends to receive a cash grant (hereinafter referred to as “applicant”) shall submit to the Minister of Trade, Industry and Energy a written application therefor and accompanying documents (hereinafter referred to as “application”) in accordance with Article 20-3 (1) of the Enforcement Decree. |
| (2) | A project manager shall submit a written opinion regarding cash grant to the applicant. |
| (3) | Each application for cash grant shall include the following: |
| 1. | General matters on the applicant; |
| 2. | General matters concerning the foreign capital-invested company (in the case of an established company); |
| 3. | Matters concerning the investment project (title of investment project, total amount of investment, amount of foreign investment and (expected) date of report, and address of intended investment destination); |
| 4. | Matters concerning the application for cash grant (grounds for application for cash grant, project or products, and amount of cash grant applied for); |
| 5. | Documents to be attached: |
| (a) | Five copies of a written investment plan and of a summary; |
| (b) | Five copies of the applicant’s financial statements (in the case of increased investment, including financial statements of the foreign capital-invested company); |
| (c) | Five photocopies of the certificate of completion of funding for investment by funding source; |
| (d) | One photocopy of the report on foreign investment (where the report has been filed). |
| (4) | A written investment plan shall include the following, and the investment plan may be prepared and submitted based on the fiscal year of the relevant foreign capital-invested company: |
| 1. | Major business performance and financial standing of the applicant (current status of the parent company and overseas subsidiaries shall be included therein, and the relevant materials available, such as a report on business operation, shall be separately submitted); |
| 2. | Total amount of investment and amount of foreign investment; |
| 3. | Location plan (including area, scale, acquisition method, costs, etc.); |
| 4. | Annual investment plans for the next five years (by fixed asset item, such as land, building and facilities); |
| 5. | Annual plans for raising investment funds and working funds for the next five years (classifying them into insourcing, outsourcing, cash grant, etc.); |
| 6. | A detailed project plan (including the contents of the project, products, details and level of technology, production process, front and rear industries, and details of business relations with the parent company and overseas subsidiaries); |
| 7. | Current status of supply and demand, and prospects in domestic and overseas markets (including current status and prospects of competing companies expected in domestic and overseas markets); |
| 8. | New annual employment plan and summary table for the next five years (classifying them into the number of personnel in the field of natural sciences and engineering by academic background, regular and temporary employment, and local residents and foreigners); |
| 9. | Estimated financial statements for the next five years (submission of a detailed estimate on the elements of cost of goods sold and on sales, accompanied by supporting documentation); |
| 10. | In the case of an enterprise having research and development plans, a research and development plan for the next five years (including research and development expenses, whether to establish an affiliated research institute, number of research and development personnel by academic background, scale of research and development investment, joint research with domestic enterprises and research institutes, etc.); |
| 11. | Merits and demerits of investment in Korea, compared with those in an alternative target country; |
| 12. | Effects of contributions to the regional and national economy for the next five years (including production, export and domestic sales, scale of direct and indirect employment, tax payment, front and rear integrative effects in regard to procurement sources for raw and subsidiary materials and sales contacts, and whether it will function as Asian regional headquarters); |
| 13. | Other necessary matters. |
| (5) | An application filed by an applicant shall be protected as a business secret and shall not be disclosed without his/her prior consent except as necessary for examination for cash grant. |
| (6) | No document submitted shall be returned, and the cost of preparing an application shall be borne by the applicant. |
| (1) | An applicant may enter into negotiations on cash grant after submitting an application: Provided, That he/she may have consultation on cash grant even before submitting an application. In such cases, the applicant shall make a written or verbal request for consultation, to the Minister of Trade, Industry and Energy. |
| (2) | Upon receiving an application or a request for consultation, the Minister of Trade, Industry and Energy shall immediately appoint a public official to be in charge of the consultation or negotiation (hereinafter referred to as “negotiation, etc.” and “person in charge of negotiations,” respectively) and shall notify the applicant thereof. |
| (3) | Upon receipt of an application, the Minister of Trade, Industry and Energy shall notify the head of the relevant local government thereof and request the appointment of a person in charge of negotiations. |
| (4) | In addition, in order to provide support to the applicant, the Minister of Trade, Industry and Energy shall request the appointment of a project manager under Article 21-2 (1) of the Enforcement Decree to the president of the Korea Trade-Investment Promotion Agency. |
| Article 6 (Evaluation of Application) |
| (1) | The Minister of Trade, Industry and Energy shall evaluate an application according to the evaluation table provided in attached Table 1, as to whether the foreign investment accompanies high technology, the effects of technology transfer, the scale of job creation, whether the foreign investment overlaps with any domestic investment, propriety of the location where the foreign investment is to be made, the effects on the regional and national economy, the viability of investment, etc. |
| (2) | The Minister of Trade, Industry and Energy may organize and operate an Evaluation Committee to conduct technical, financial and industrial evaluations pursuant to paragraph (1). |
| (3) | The evaluation team shall submit a report on the findings of the evaluation of an application to the Minister of Trade, Industry and Energy. |
| (4) | A person in charge of negotiations shall prepare a recommendation for cash grant, which includes the following, based on the details of a resolution of the Evaluation Committee; |
| 1. | Opinions on the need for cash grant; |
| (5) | The details of a resolution of the Evaluation Committee and a recommendation for cash grant, regarding an application, shall not be disclosed to the public. |
| Article 6-2 (Composition and Operation of Evaluation Committee) |
| (1) | The Evaluation Committee shall be comprised of at least five but up to twelve members; and the Chairperson shall be elected by the Committee. |
| (2) | The Minister of Trade, Industry and Energy shall commission members of the Evaluation Committee from among the following persons: |
| 1. | A person with extensive expertise and experience in foreign investment; |
| 2. | A person with extensive expertise and experience in any relevant field, which are required to conduct technical, financial and industrial evaluations for applicant companies. |
| (3) | A person in charge of negotiations shall serve as a secretary of the Evaluation Committee. |
| (4) | Meetings of the Evaluation Committee shall commence with the opening thereof by the Chairperson of the Committee; and whether to provide cash grants for an applicant company shall be determined by the affirmative vote of 2/3 of the members of the Committee, after the Chairperson gathers consensus from evaluation members who conduct technical, financial and industrial evaluations for such applicant company. |
| (5) | Where necessary, the Chairperson of the Committee may give an applicant an opportunity to explain to evaluation members, the relevant project eligible for cash grants. |
| (6) | Evaluation members shall not leak to the outside the contents learned in the course of conducting evaluations; and shall submit an assurance of confidentiality. |
| Article 7 (Determination of Cash Grant) |
| (1) | The Minister of Trade, Industry and Energy shall submit recommendations for cash grants prepared under Article 6 to the Foreign Investment Committee after consultations with the Minister of Strategy and Finance and the head of the relevant local government. |
| (2) | Cash grants shall be determined through deliberation and resolution by the Foreign Investment Committee and executed after a contract for cash grant is concluded: Provided, That where the amount of cash grant excluding the amount of relocation support is less than one billion won, a contract for cash grant may be concluded through deliberation and resolution by the Foreign Investment Working Committee under Article 27 (3) of the Act (hereinafter referred to as “Working Committee”). |
| (3) | Cash grants shall be determined within 60 days from the receipt of the application under Article 4 (1), except where unavoidable, and the period may be extended by up to 30 days. |
| (4) | The applicant shall assume responsibility for all actions taken by himself/herself before a contract for cash grant is concluded. |
| Article 8 (Calculation Method of Limit on Cash Grant) |
| (1) | The limit on a cash grant shall be calculated according to the method specified in attached Table 2. |
| (2) | The limit on a cash grant shall be calculated by a committee organized to calculate the limit on cash grants (hereinafter referred to as the "limit calculation committee"); and the chairperson of the committee shall be determined by election, from among themselves. |
| (3) | The limit calculation committee established under paragraph (2) shall be comprised of at least five members, who are public officials of the central agencies, public officials of the relevant local government, the Korea Trade-Investment Promotion Agency, and civilian experts. |
| (4) | The Minister of Trade, Industry and Energy shall commission persons with extensive expertise and experience in foreign direct investment and grants, as civilian experts specified in paragraph (3). |
| (5) | Any of the personnel who have participated in the calculation of the limit on cash grant shall not disclose to the public any information learned in the course of the calculation, and shall submit an assurance of confidentiality. |
| (6) | A person in charge of negotiations may negotiate on the inducement of foreign investment with a foreigner within the limit on cash grant calculated pursuant to paragraphs (1) and (2) (hereinafter referred to as “limit on cash grant”). Where it is difficult to proceed with negotiations within the limit on cash grant, a report shall be filed immediately with the Foreign Investment Committee. |
| (7) | The limit on a cash grant shall be calculated by totaling the cash grants provided by the State and local governments (hereinafter referred to as the "Government”). Where any rented land is provided, the rent reduced or exempted until the expiration of the contract period for a cash grant shall be included in the limit on the cash grant under Article 19 (4) of the Decree. |
| (8) | Where any rented land is provided, a financial support referred to in Article 14 of the State Financial Support Standards shall not be provided to compensate for the difference between the sale price and the land preparation cost. |
| (9) | A grant according to the Standards for Providing State Financial Support to Local Governments for Attracting Foreign Investment (hereinafter referred to as “State Financial Support Standards”) and a cash grant shall not be provided in duplicate for the same item, and the total amount of support shall not exceed the limit on cash grant prescribed in attached Table 2 regarding the amount of foreign investment to be induced through the relevant support. |
| Article 9 (Payment Method of Cash Grant) |
| (1) | A cash grant may be paid in a lump sum within one year from the date the contract is concluded or in up to ten installments within five years from the conclusion of the contract. The applicant shall open a separate account and perform accounting for the cash grant received, clearly distinguishing it from his/her own revenue and expenditure. |
| (2) | For installment payments, a contract for cash grant shall specify an investment expenditure plan that includes the details of cash-granted assets and an expenditure schedule of cash grant, the deadline for the acquisition of fixed assets, such as land, building, and machinery (hereinafter referred to as “investment expenditure plan”), and the time limit for the commencement of project (or production). |
| (3) | For installment payments, the applicant shall submit an application which includes the scale, purpose, details, etc. of the cash grant for the relevant year, and the Minister of Trade, Industry and Energy and the head of the relevant local government shall pay the grant, within the scope of cash grant agreed upon by the contract for cash grant, in accordance with the following methods, after evaluating the performance of the investment expenditure plan, actual execution of the cash grant, etc. but may adjust the amount and timing for payment; and the State may pay its share of the grant in installments via a local government: |
| 1. | Costs of purchase of land under Article 20-2 (1) 1 of the Enforcement Decree (hereinafter referred to as “land purchase costs”) shall be paid after concluding a contract for purchase of the land, by dividing them into interim payment(s) and final payment, and the rents under the same subparagraph (hereinafter referred to as “rents”) shall be paid in accordance with the lease contract concluded between the applicant and the proprietor of the leased land or its entrusted manager; |
| 2. | Education and training subsidy and employment subsidy under Article 20-2 (1) 5 of the Enforcement Decree (hereinafter referred to as “education and training subsidy” and “employment subsidy,” respectively) shall be paid based on the evaluation of the performance in implementing the employment plan during the investment period; |
| 3. | Building costs, costs for purchasing capital goods, research equipment and materials, and costs for installing infrastructure, such as electricity and communications facilities (hereinafter referred to as “building costs,” “purchase costs of facility and equipment,” and “installation costs of infrastructure,” respectively) under Article 20-2 (1) 2 through 4 of the Enforcement Decree shall be paid based on the evaluation of the performance in implementing the investment expenditure plan. |
| (4) | Except as otherwise expressly provided for in these Guidelines, other matters regarding the payment method and return of cash grants shall be governed by the Subsidy Management Act and the Local Finance Act. |
| Article 10 (Share in Financial Support) |
The financial burden for cash grants shall be shared by the State and local governments in the following ratio:
| 1. | Purchase costs of or rents on land: 30:70 for the Seoul Metropolitan Area and 60:40 for the Non-Seoul Metropolitan Area; |
| 2. | Employment subsidy and education and training subsidy: 50:50 (Provided, That the employment subsidy for intern employees in the technology course shall be fully provided by the State); |
| 3. | Building costs, costs for purchasing capital goods, research equipment and materials, costs for installing infrastructure, and research and development costs: 30:70 for the Seoul Metropolitan Area and 60:40 for the Non-Seoul Metropolitan Area; |
| 4. | Costs for purchasing buildings for research and investment or rents thereof: 30:70 for the Seoul Metropolitan Area and 60:40 for the Non-Seoul Metropolitan Area: Provided, That these ratios may change upon resolution by the Foreign Investment Committee. |
| Article 11 (Acquisition and Lease, etc. of Land for Rent) |
In providing support for land for rent to an applicant, the Government shall acquire, lease, etc. the land for rent in accordance with Articles 8 through 13 of the State Financial Support Standards.
| Article 12 (Conclusion of Contract) |
| (1) | Where it is determined to provide a cash grant under Article 7 or 14, the Minister of Trade, Industry and Energy shall conclude a contract for such cash grant, which provides for the matters prescribed in Articles 9 through 11, with the head of the relevant local government and applicant. |
| (2) | The period of a contract for cash grant (hereinafter referred to as “contract period") shall be the sum of the investment period and business operation period: |
| 1. | "Investment period" shall be the period from the date the contract is concluded to the last day of the year in which the investment is performed and execution of the investment is completed; |
| 2. | "Business operation period" shall be five years following the investment period, during which matters, such as investment plans and employment, for which the implementation and execution of investment have been completed, are performed. |
| (3) | The Minister of Trade, Industry and Energy shall specify, in a contract for cash grant, that he/she may cancel or withdraw the contract for cash grant, may reduce the amount of a cash grant, or may fully or partially recover the cash grant paid, subject to deliberation and resolution by the Working Committee, if an applicant applies for funds by fraud or other improper means; if he/she fails to perform the obligations specified in the contract for cash grant; or if he/she is no longer able to conduct the relevant business due to the relevant company's bankruptcy, discontinuance of business or any other reason during the contract period, including the following: |
| 1. | Where the cash grant is recovered, the amount the applicant must return (the largest amount among the total amount of the cash grant paid if the applicant is no longer able to conduct the relevant business within the investment period; an amount calculated by multiplying the cash grant paid by the non-performance rate for the business operation period; an amount calculated by multiplying the cash grant by the non-performance rate of investment if the applicant fails to perform the investment obligations specified in the contract within the investment period; and an amount calculated by multiplying a penalty specified in the contract for cash grant, by the number of persons falling short of the employment requirement, if the applicant fails to perform the minimum employment obligations specified in the contract within the investment period, but the period for employment may be extended by up to two years if the applicant, who has failed to perform the investment obligations specified in the contract within the investment period, requests an extension of the period for employment instead of returning the cash grant); |
| 2. | Where the contract for cash grant is cancelled or withdrawn; where the amount of the cash grant is reduced; or where the cash grant paid is recovered, the procedures by which the applicant requests an extension of the investment period, or the procedures for urging the fulfillment of the contract or vindication procedures; |
| 3. | Where the cash grant is fully or partially recovered, interest and incidental expenses to be additionally collected under the contract for cash grant; |
| 4. | A person liable to return the cash grant. |
| (4) | The contract shall be interpreted in accordance with the statutes of the Republic of Korea, and the relevant parties thereto shall be subject to the courts and trial jurisdiction of the Republic of Korea. |
| (5) | Where an investment plan is submitted based on the fiscal year of the relevant foreign capital-invested company pursuant to Article 4 (4), a contract for cash grant may be concluded based thereon, and the period specified in paragraph (2) or Article 17 (1) may be adjusted based on the fiscal year. |
CHAPTER III PRIOR EXAMINATION, ETC. OF CASH GRANT
| Article 13 (Negotiation Agenda for Prior Examination of Cash Grant) |
| (1) | Where necessary to proactively attract specific foreign investment expected to have a significant effect on the national economy, the president of the Korea Trade-Investment Promotion Agency may recommend the Minister of Trade, Industry and Energy to first prepare negotiation agenda for the prior examination of cash grant (hereinafter referred to as “negotiation agenda”) and submit them to the Foreign Investment Committee. |
| (2) | The negotiation agenda under paragraph (1) shall include the following: |
| 1. | Matters concerning the relevant foreign investor (major business performance, financial standing, current status of the parent company and overseas subsidiaries, level of technology, etc.); |
| 2. | Matters concerning the relevant investment project (details of the project, production items, estimated total amount of investment and estimated amount of foreign capital investment, expected location where the foreign investment is to be made, mid and long-term project prospects including prospects of supply and demand, profitability, current status and prospects of competing companies expected in domestic and overseas markets, procurement sources for raw and subsidiary materials and sales contacts, etc.); |
| 3. | Matters concerning the economic effects of the relevant investment project (details and level of related technology, expected ripple effects on front and rear industries, expected direct and indirect employment effects, expected production, export and domestic sales, etc.); |
| 4. | Grounds for cash grant required (including comparison with an alternative target country); |
| 5. | Minimum requirements for cash grant (technology to be introduced, minimum amount of foreign investment, minimum number of employment, etc.), and minimum amount of cash grant (or its minimum ratio compared to the amount of foreign investment within a fixed scope); |
| 6. | Items that are negotiable in the course of negotiations with a foreign investor (such as the amount of foreign investment, number of expected employment, expected location where the foreign investment is to be made, etc.) and variable amount of cash grant by item; |
| 7. | Upper limit of the total amount of cash grant (or its maximum ratio compared to the amount of foreign investment within a fixed scope); |
| 8. | Expected use of cash grant and expected method of payment thereof; |
| 9. | Development of and plans for the inducement of investment, and other matters necessary to deliberate on matters related to cash grant, such as the opinions of the project manager. |
| (3) | The president of the Korea Trade-Investment Promotion Agency shall consider the opinions of the relevant experts in evaluating the technological, industrial, and economic effects, etc. in preparing negotiation agenda for cash grant, and may consult with the relevant government agencies, local governments, etc., if necessary. |
| (4) | The Minister of Trade, Industry and Energy may have the president of the Korea Trade-Investment Promotion Agency supplement the negotiation agenda for cash grant, if necessary. |
| (5) | Any of the negotiation agenda shall not be disclosed to the public; and persons who participate in the preparation of the negotiation agenda shall not leak any information learned in the course of the preparation, and shall submit an assurance of confidentiality. |
| Article 14 (Consultation on Negotiation Agenda and Determination of Cash Grant) |
| (1) | The Minister of Trade, Industry and Energy shall submit, to the Foreign Investment Committee, negotiation agenda through consultations with the Minister of Strategy and Finance (including consultations with the relevant local government, where a local government in charge is confirmed). |
| (2) | The Foreign Investment Committee shall deliberate on and resolve the following matters regarding the negotiation agenda: |
| 1. | Whether it approves cash grant to the relevant foreign investment; |
| 2. | Minimum requirements for cash grant and minimum amount of cash grant (or its minimum ratio compared to the amount of foreign investment within a fixed scope); |
| 3. | Items that are negotiable in the course of negotiations with a foreign investor and variable amount of cash grant by item; |
| 4. | Limit on the total amount of cash grant (or its maximum ratio compared to the amount of foreign investment within a fixed scope); |
| 5. | Other matters important in negotiations. |
| (3) | Where the amount of cash grant excluding the amount of relocation support is less than one billion won, negotiation agenda for cash grant may be deliberated on and resolved by the Working Committee. |
| Article 15 (Procedures for and Time Limit, etc. of Negotiations) |
| (1) | Where negotiation agenda are approved, the president of the Korea Trade-Investment Promotion Agency shall proceed with negotiations with the foreign investor within the limit on cash grant. |
| (2) | The president of the Korea Trade-Investment Promotion Agency shall complete negotiations and ensure that an application for cash grant under Article 4 shall be filed within one year from the date of approval of the negotiation agenda, and shall request the Minister of Trade, Industry and Energy to extend the period, if the application is not filed within such period. |
| (3) | Upon receipt of a request made pursuant to paragraph 2, the Minister of Trade, Industry and Energy may extend the time period by up to one year, if the main facts, such as the current status of domestic development and introduction of the relevant technologies and the necessity for inducing investment, are deemed to remain the same. |
| (4) | If it is difficult to proceed with negotiations within the scope of the negotiation agenda, the president of the Korea Trade-Investment Promotion Agency shall report the details thereof to the Working Committee immediately. |
| Article 16 (Measures, etc. Following Negotiations) |
| (1) | Where negotiations have been concluded, a foreign investor shall file an application for cash grant in accordance with the negotiated contents. |
| (2) | Article 4 shall apply mutatis mutandis to the application under paragraph (1); however, the documents referred to in Article 4 (2) and (4) 7 and 9 among the documents to be attached shall be excluded. |
| (3) | The Minister of Trade, Industry and Energy shall conclude a contract if the contents of the application for cash grant conform to the negotiation agenda, through consultations with the Minister of Strategy and Finance and the head of the relevant local government, and shall report the details thereof to the Working Committee. |
CHAPTER IV FOLLOW-UP MANAGEMENT, ETC.
| Article 17 (Follow-Up Management, etc. of Cash Grant) |
| (1) | The Minister of Trade, Industry and Energy and the head of the relevant local government shall annually verify whether the applicant has complied with the investment expenditure plan, employment plan, and has achieved the trade balance or service balance improvement effects during the contract period referred to in Article 12, and the applicant shall submit a report on the use of the cash grant received to the Ministrer of Trade, Industry and Energy and the head of the relevant local government within two months therefrom. In addition, the applicant shall return the remaining balance of the cash grant provided in the relevant year and the interest accrued thereon, when the cash grant is completed. |
| (2) | Cash grants to cover land purchase costs or rents, education and training subsidy, and employment subsidy shall be subject to follow-up management under Article 19 of the State Financial Support Standards: Provided, That paragraph (4) of the same Article shall not apply to technology interns in the fields of natural sciences and engineering. |
| (3) | Cash grants to cover building costs, purchase costs of facilities and equipment, and installation costs of infrastructure shall be adjusted, if the actual amount of foreign investment is less than the amount of foreign investment specified in the contract for cash grant (in US dollars) by reducing the amount of cash grant in a corresponding ratio. |
| (4) | Each applicant for cash grant shall keep and manage the books of account detailing the use of the subsidy and evidentiary documents until the expiration of the contract period and, if requested by the competent Minister, he/she shall submit the books of account and evidentiary documents without delay. |
| Article 18 (Duties of Applicant) |
| (1) | An applicant shall directly or indirectly manage the relevant foreign capital-invested company and faithfully perform the obligations prescribed in the contract for cash grant and the investment expenditure plan. |
| (2) | In order to ensure the recovery and replacement of all assets (including assets under construction), such as buildings, facilities and equipment to a satisfactory level, a damage insurance contract shall be concluded or measures corresponding thereto shall be taken. |
| (3) | Contracts for acquiring an asset to be supported by cash grant shall be concluded by means ensuring the efficient use of cash grant, such as open bidding, certified appraisal, or acquisition of two or more estimates. |
| (4) | In order to use an asset supported by cash grant for any purpose other than the relevant project, or to transfer, exchange, lease or offer it as security, the applicant shall obtain prior written approval from the Minister of Trade, Industry and Energy. |
| (5) | No cash grant shall be misappropriated as dividend, royalty, etc., and the relevant foreign capital-invested company shall not provide any guarantee of an obligation for any purpose other than the relevant project. |
| (6) | An applicant shall provide sufficient information for the examination of contract performance during the contract period and shall submit, to the Minister of Trade, Industry and Energy, an annual report audited by an external auditor. With respect to the research and development field, a report on the status of research and development activities and the outcomes thereof shall be submitted in addition to the annual report. |
| Article 19 (Deadline for Re-Examination) |
The deadline for taking measures, such as repealing or amending these Guidelines, shall be June 21, 2021, reviewing the changes in the statutes or the actual conditions after the issuance of these Guidelines, in accordance with the Rules on the Issuance and Management of Directives and Established Rules (Presidential Directive No. 248).
ADDENDA
o Attached Tables 1 and 2 shall not be disclosed.
o These Guidelines shall enter into force on the date the Foreign Investment Commission passes a resolution to adopt the same.
ADDENDA <Public Announcement of the Ministry of Knowledge Economy No. 2008-182, Jul. 22, 2008>
o Attached Tables 1 and 2 shall not be disclosed.
o These Guidelines shall enter into force on the date the Foreign Investment Commission passes a resolution to adopt the same.
ADDENDUM <Public Announcement of the Ministry of Knowledge Economy No. 2009-327, Aug. 21, 2009>
This Public Announcement shall enter into force on August 24, 2009.
ADDENDA <Public Announcement of the Ministry of Knowledge Economy No. 2010-299, May 3, 2010>
This Public Announcement shall enter into force on May 3, 2010.
Attached Tables 1, 2 and 3 shall not be disclosed.
ADDENDA <Public Announcement of the Ministry of Knowledge Economy No. 2012-25, Jan. 17, 2012>
o Attached Tables 1, 2 and 3 shall not be disclosed.
o These Guidelines shall enter into force on the date the Foreign Investment Commission passes a resolution to adopt the same.
ADDENDUM <Public Announcement of the Ministry of Knowledge Economy No. 2012-163, Mar. 26, 2012>
This Public Announcement shall enter into force on April 1, 2012.
ADDENDA <Public Announcement of the Ministry of Trade, Industry and Energy No. 2014-304, Jun. 27, 2014>
o Attached Tables 1, 2 and 3 shall not be disclosed.
o These Guidelines shall enter into force on the date the Foreign Investment Commission passes a resolution to adopt the same.
ADDENDA <Public Announcement of the Ministry of Trade, Industry and Energy No. 2017-519, Oct. 30, 2017>
o Attached Tables 1, 2 and 3 shall not be disclosed.
o These Guidelines shall enter into force on the date the Foreign Investment Commission passes a resolution to adopt the same.
ADDENDA <Public Announcement of the Ministry of Trade, Industry and Energy No. 2018-360, Jun. 26, 2018>
o Attached Tables 1, 2 and 3 shall not be disclosed.
o These Guidelines shall enter into force on the date the Foreign Investment Commission passes a resolution to adopt the same.