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Criteria for <small and medium-sized manufacturers> to obtain 30% of reduction rate for factory automation

[Criteria for <small and medium-sized manufacturers> to obtain 30% of reduction rate for factory automation]


Small and medium-sized enterprises that are the target of the measure for fostering SMEs are those who engage in businesses or associations falling under any of the following subparagraphs (Article 2 of the Minor Enterprises Act.)


A company engaged in business for profit for all of the following requirements


The criteria for SMEs such as the average sales volume of the main business conducted by the company shall fit in to the following criteria

The main business type of the company

Classification code

Scale standards

1. Manufacture of apparel, clothing accessories and fur products


Average sales

150 billion won or less

2. Manufacture of leather, bags and footwear


3. Manufacture of pulp, paper and paper products


4. Manufacture of primary metals


5. Electrical equipment manufacturing


6. Furniture manufacturing


7. Agriculture, forestry and fisheries


Average sales

100 billion won or less

8. Mine


9. Food production


10. Tobacco industry


11. Textile product manufacturing (Apparel manufacturing is excluded.)


12. Manufacture of wood and wood products (Excludes furniture manufacturing)


13. Manufacture of coke, briquette and refined petroleum products


14. Chemical and chemical products manufacturing (Excludes pharmaceuticals manufacturing)


15. Manufacture of rubber products and plastic products


16. Manufacture of metal processing products (Excluding machinery and furniture manufacturing)


17. Manufacture of electronic components, computers, video, sound and communication equipment


18. Other machinery and equipment manufacturing


19. Automobile and trailer manufacturing


20. Other transportation equipment manufacturing


21. Electricity, gas, steam and air conditioning supply business


22. Water industry


23. Construction industry


24. Wholesale and Retail


25. Beverage manufacturing


Average sales

80 billion won or less

26. Printing and recording media duplication business


27. Manufacture of medical materials and pharmaceuticals


28. Manufacture of non-metallic mineral products


29. Medical, precision, optics and watch manufacturing


30. Other products manufacturing


31. Water, sewage and waste disposal, raw material recycling[Excluding water service (E36)]


32. Transportation & Warehousing


33. Information and communication industry


34. Repair of industrial machinery and equipment


Average sales

60 billion won or less

35. Professional, scientific and technical services


36. Business facilities management, business support and rental services[Excluding leasing (N76)]


37. Health and social welfare services


38. Arts, sports and leisure services


39. Repair and other personal services


40. Accommodation and restaurant business


Average sales

40 billion won or less

41. Finance and insurance


42. Real estate business


43. Leasing business


44. Education service industry



<note> 1. The classification and classification symbol of the main industry of the enterprise shall be in accordance with the Korea Standard Industry Classification notified by the Commissioner of Statistics in accordance with Article 22 of the Statistical Law.

2. Notwithstanding 19 and 20 above, the standard for manufacturing new chairs for automobiles (C30393), railway vehicle parts and related equipment (C31202), of seats for rail vehicles and parts for airplanes (C31322), The scale is based on average sales of less than 150 billion won


Total assets should be less than 500 billion won


A company whose substantive independence of ownership and management does not fall under any of the following:


A. Mutual Investment Restricted Entrepreneurs Group pursuant to the "Act on Monopolistic Regulation and Fair Trade" or among the companies that are considered to be incorporated and notified as part of the public corporation group, they belong to the mutual investment-restricted business group.


B. A corporation (Including a foreign corporation, but not a non-profit corporation and any person falling under any of the items of Article 3-2 (3) of the Enforcement Decree of the Basic Act for Small and Medium Enterprises) with a total assets of more than 500 billion won, which is directly or indirectly owned by more than 30% of the shares, etc., as the largest investor. In this case, the largest investor is a corporation or individual who owns the shares of the corporation, etc., or a person who owns the most shares of the corporation, either alone or in combination with any of the following: Shall apply mutatis mutandis to Article 2 (2) of the Enforcement Decree of the International Tax Adjustment Act.


- If the person who owns the stock is a corporation : executive of the corporation

- If a person who owns stocks, etc. is an individual not covered by 1) : A relative of the individual


C. In the case of a company belonging to an affiliated company, the average sales amount does not meet the criteria in the above table


A corporation that does not have the primary purpose of profit among the social enterprises with all of the above requirements pursuant to the "Social Enterprise Promotion Act“


A corporation that does not have the primary purpose of profit among cooperatives with all of the above requirements, in accordance with Cooperative, Cooperative Union, Social Cooperative, Social Cooperative Federation to the "Cooperative Basic Act",


A corporation that does not make commercial profit as the main purpose among unions, associations and national associations in accordance with the "Consumer Life Cooperative Act“


Small and medium enterprises (SMEs) are divided into small enterprises and medium enterprises according to the classification criteria determined by presidential decree.


When the above applies, SMEs are considered as SMEs for 3 years from the next year of the year in which the reasons for SMEs are not applicable to SMEs due to expansion of the scale. However, this shall not apply if the merger with a company other than SMEs or other reasons prescribed by Presidential Decree is not applicable to SMEs.


Depending on the characteristics of SMEs policies, if it is deemed necessary, SMEs cooperatives or other corporations and organizations may be SMEs, as stipulated by the Small Business Cooperative Federation Actor other laws.

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