What regulations is Korea easing for its three megaprojects?

The government plans to revise administrative rules so companies can secure separate permits for new buildings instead of revising existing building permits for every addition. It also wants to relax restrictions so battery recycling firms can enter national industrial parks in Gumi and Pohang.

How much investment does Korea expect from the deregulation plan?

The finance ministry said the measures are expected to unlock a total of 4.2 trillion won in investment. That includes 2.5 trillion won tied to the Yongin semiconductor cluster and 100 billion won linked to battery recycling business investment.

Which projects are included in Korea's megaproject support plan?

The plan covers three megaprojects focused on semiconductors, physical AI and AI data centers. The ministry said the goal is to remove regulatory hurdles so projects that are ready to proceed can move forward more quickly.

Korea vows to ease regulations to support 3 megaprojects

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Summary

Korea vowed to ease regulations and administrative procedures to support three megaprojects centered on semiconductors and AI facilities, the finance ministry said Thursday. Finance Minister Koo Yun-cheol unveiled the plan at a meeting with economy-related ministers, and the government expects 4.2 trillion won in investment. The measures target projects delayed by regulatory hurdles, including a semiconductor cluster in Yongin and battery recycling access to industrial parks in Gumi and Pohang.

Key Facts

The government expects the measures to generate 4.2 trillion won, or $2.96 billion, in investment.
The Yongin semiconductor cluster is set to receive separate permits for new buildings under revised regulations, paving the way for 2.5 trillion won in investment.
Battery recycling firms will be allowed to enter national industrial parks in Gumi and Pohang, which is expected to lead to 100 billion won in business investment.
The current system requires companies to revise existing building permits when adding new structures to an ongoing construction project.
The finance ministry said the deregulation is intended to help implement projects in semiconductors, physical AI and AI data centers.

By Yonhap

Published Aug 13, 2026 8:49 am KST

The construction site of SK hynix's fabrication plant at the Yongin semiconductor cluster in Yongin, Gyeonggi Province, Tuesday / Joint Press Corps

Korea vowed to ease a set of regulations, including administrative procedures, to support the country's three megaprojects centered on semiconductors and artificial intelligence (AI) facilities, the finance ministry said Thursday.

Finance Minister Koo Yun-cheol unveiled the plan during a meeting with economy-related ministers, with the government expecting the measures to generate a total of 4.2 trillion won ($2.96 billion) in investment.

"The government came up with the measures to promptly address investment-related challenges on the ground, focusing on projects that are ready to proceed but have been held up by regulatory hurdles," the finance ministry said.

The ministry added that such deregulation is needed to smoothly implement the three megaprojects aimed at transforming the country's economy through investments in semiconductors, physical AI and AI data centers.

For example, under the current system, companies are required to revise their existing building permits when adding new structures to an ongoing construction project.

The government decided to revise relevant regulations to allow companies to obtain separate permits for new buildings at the semiconductor cluster under construction in Yongin, south of Seoul, paving the way for the early implementation of 2.5 trillion won worth of investment.

Additionally, while only manufacturing companies related to the secondary battery industry are currently allowed to enter national industrial parks in the southeastern cities of Gumi and Pohang, the government decided to allow battery recycling firms to use these complexes as well, a move expected to lead to 100 billion won worth of business investment.

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