Republic of Korea: Implementation of significant revisions to the Foreign Investment Promotion Act

On August 5th, 2020, the Korean Ministry of Trade, Industry, and Energy (MOTIE) implemented significant revisions to the Foreign Investment Promotion Act. One key revision is that 2,990 technologies in 33 sectors, mainly related to cross-cutting technology and artificial intelligence, are now also eligible to receive this cash support. Previously, these cash incentives were only valid for investment in raw materials, manufactured parts, and new growth technologies. Another change, abeit less meaningful, is that the Ministry of Defense, the National Intelligence Service, and the Defense Agency are now members of the Foreign Investment Committee.