FOR IMMEDIATE RELEASE                      
Feb. 26, 2025                                    
                                    
MSS Supports Smart Factory Construction in Collaboration with Local Governments

SEJONG – On February 25, the Ministry of SMEs and Startups (MSS) announces the Support Project for Region-Specific Smart Factory Construction for the year 2025.
The project aims to address local challenges by combining government support for smart factory development with local government initiatives to foster region-specific industries. In 2025, three local governments—Gyeongbuk, Jeonnam, and Jeonbuk—will participate.

The total project budget amounts to KRW 6 billion, with MSS providing KRW 2 billion per region specifically for the advanced construction phase. Local governments will match this by investing KRW 10.45 billion in basic construction and specialization projects, leading to a total investment of KRW 16.45 billion. Companies adopting smart factories will receive support for 50%–80% of their construction costs, and will also have access to localized specialization programs such as technical support and commercialization assistance.

Regionally, Gyeongbuk will allocate KRW 4 billion to support the establishment of smart factories in the food manufacturing sector, aiming to assist 50 factories. The program will also provide support for participating companies through network-building initiatives, technical consulting, certification evaluations, and regional specialization programs focused on policy funding, marketing, and enhancing export capabilities.

In Jeonnam, the local government plans to invest KRW 5.75 billion to drive the digital transformation of regional food manufacturing companies. This funding will support the establishment of smart factories for 40 companies, as well as the acquisition of manufacturing robots and equipment for 5 companies.

Jeonbuk will invest KRW 6.7 billion in the agricultural biotechnology sector to support the establishment of smart factories for 35 companies. The program will also include specialized initiatives for participating companies, such as technology commercialization, new product development, marketing strategies, export certification, and smart HACCP training and consulting.

Kwon Soon-jae, Director of the Manufacturing Innovation Division, stated, “Through this project, we aim to foster collaboration between the central and local governments to modernize the manufacturing facilities of regional companies and find joint solutions to local challenges.” He added, “In the future, we will continue to expand both the support budget and the targeted regions based on local needs.”

The announcement of the Region-Specific Smart Factory Project will be made regionally, with the official details available on the Smart Factory Project Management System website (www.smart-factory.kr) starting February 25. Interested companies are encouraged to prepare project plans in accordance with the regional announcements and submit applications online. For detailed inquiries, companies may contact the respective regional operating agencies.