Pohang Ranks As The 'Most Satisfying Investment Destination' For Foreign Investors and Cheonan Is The Most Foreign Investor-Friendly in South Korea, Says Chamber of Commmerce & Industries

More foreign investors are turning their attention to Pohang, a port city in North Gyeongsang province, which the Korea Chamber of Commerce and Industries (KCCI) declared as the "most satisfactory investment destination," Korea JoongAng Daily reported Tuesday.

The Korea Chamber of Commerce and Industries survey based on 1,578 foreign companies in different cities across South Korea were asked about their thoughts on their local governments' regulatory administration from May to September this year.

According to the chamber, Pohang's local government partners a civil servant to each company to assist companies with administrative matters and advise them on various concerns such as tax, customs, labor and law.

KBS World reported Monday that aside from Pohang, Yeongcheon in North Gyeongsang Province, Gwangyang in South Jeolla Province and Gunsan in North Jeolla Province also boasted positive business sentiment, which depicts how foreign investors are satisfied with regulatory administration from local governments.

Pohang is home to top steelmaker Posco, while production plants for airplane and vehicle parts reside in Yeongcheon.

"Foreign investors had a hard time getting information about the corporate environment and local regulations in the past, which deterred many from jumping into business in Korea," said KCCI executive vice chairman Lee Dong Geun. "That's why we provide the map to help them pick the proper investment destination and encourage them to consider spots that they did not consider before."

Cheonan in South Chungcheong province was identified as they city with the friendliest environment for foreign investors, KBS World noted.

The survey revealed Cheonan's city government dispatches trade delegates to foreign governments twice a year, closing $200 million worth of deals in the last three years.

Cheonan's local government also opened a $10.8 million-worth industrial complex that caters to foreign companies.

11 other cities were followed Cheonan as one of South Korea's friendliest cities for foreign investors, which includes Gumi in North Gyeongsang Province, Changwon in South Gyeongsang Province and Dalseong in Daegu.

The poll also discovered that 171 out of 228 local governments offered property tax exemption for at least seven years to foreign investors, and 185 offered subsidies.

37 local governments were limiting the industries they allow to invest in their cities, while 73 had no organization devoted to assisting foreign investors.