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Business confirmation certificates

Applying for Materials, Parts and Equipment Specialized Company Confirmation — the 50% Sales Share Requirement and the 3-Year Validity of the Certificate

A company whose main business is developing or manufacturing materials, parts or equipment may apply to the Minister of Trade and Industry for confirmation as a specialized company under Article 14 of the Special Act on Strengthening the Competitiveness of Materials, Parts and Equipment Industries and Stabilizing Supply Chains. Sales of materials, parts and equipment must account for at least 50% of total sales, and a company belonging to a business group subject to limitations on cross-shareholding must keep sales to its own affiliates below 50% of its materials, parts and equipment sales. The application form, with documents proving sales and financial statements, is submitted to the Korea Planning and Evaluation Institute of Industrial Technology, and there is no fee. The certificate is valid for 3 years, and a confirmation obtained by false or other fraudulent means must be cancelled.

Written by Hwang Yunsang, Administrative Agent · Published 2026-10-08 · Updated 2026-10-08

Procedure

  1. 1. Check whether your products fall within the scope of materials, parts and equipment

    The scope of materials, parts and equipment is set out by Korean Standard Industrial Classification code in Annex 1 of the Enforcement Rule of the same Act. Check first whether the classification code of each product your company makes appears in Annex 1, and organize the product names, standard industrial classification codes and HS codes to be entered on the application. Sales of products not listed in Annex 1 cannot be counted as materials, parts and equipment sales.

  2. 2. Calculate the sales share for the previous year

    Sales on the application are based on the previous year, and total sales are calculated by the method in Article 7 of the Enforcement Decree of the Framework Act on Small and Medium Enterprises. Materials, parts and equipment sales (domestic sales and exports) divided by total sales must be 50% or more. A company belonging to a business group subject to limitations on cross-shareholding also calculates whether sales to its own affiliates are below 50% of its materials, parts and equipment sales.

  3. 3. Prepare the attachments

    Prepare documents proving materials, parts and equipment sales and a review opinion on those sales. The review opinion is accepted only if written by a person qualified under Article 4(1)2 of the Enforcement Rule. Companies subject to external audit attach an audit report, and other companies attach financial statements under Article 447 of the Commercial Act.

  4. 4. Submit the application and undergo document or on-site review

    The specialized company confirmation application and attachments are submitted to the President of the Korea Planning and Evaluation Institute of Industrial Technology, with no fee. The receiving institution may conduct a document review or on-site inspection to check the requirements, and notice of the date, purpose and place of an on-site inspection is given at least 3 days in advance. If the sales breakdown and supporting evidence do not match during the review, additional materials may be requested.

  5. 5. Issuance of the certificate and follow-up management

    If the requirements are met, a specialized company certificate valid for 3 years is issued. Document reviews or on-site inspections to check that the requirements are maintained may take place during the validity period, and the confirmation may be cancelled if the company no longer meets the requirements or cannot continue business due to default, closure or suspension. The company is heard before cancellation, and the certificate is recovered if cancelled.

Required documents

  • Specialized company confirmation application (Form No. 3 of the Enforcement Rule of the Special Act on Strengthening the Competitiveness of Materials, Parts and Equipment Industries and Stabilizing Supply Chains)
  • Documents proving materials, parts and equipment sales
  • Review opinion on materials, parts and equipment sales (written by a person qualified under Article 4(1)2 of the Enforcement Rule)
  • Audit report (companies subject to external audit) or financial statements under Article 447 of the Commercial Act (other companies)
  • Other documents designated by public notice of the Minister of Trade and Industry
  • Letter of authorization (when submitted by an agent)

Fees

Typically from several hundred thousand won to several million won across the industry. We will advise after consultation depending on the number of products, the scope of checking against Annex 1, the volume of the sales breakdown and whether there are affiliate sales. Government fees are separate.

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Legal basis and review date

  • Special Act on Strengthening the Competitiveness of Materials, Parts and Equipment Industries and Stabilizing Supply Chains, Article 2
  • Special Act on Strengthening the Competitiveness of Materials, Parts and Equipment Industries and Stabilizing Supply Chains, Article 14
  • Special Act on Strengthening the Competitiveness of Materials, Parts and Equipment Industries and Stabilizing Supply Chains, Article 17
  • Enforcement Decree of the Special Act on Strengthening the Competitiveness of Materials, Parts and Equipment Industries and Stabilizing Supply Chains, Article 2
  • Enforcement Decree of the Special Act on Strengthening the Competitiveness of Materials, Parts and Equipment Industries and Stabilizing Supply Chains, Article 22
  • Enforcement Decree of the Special Act on Strengthening the Competitiveness of Materials, Parts and Equipment Industries and Stabilizing Supply Chains, Article 23
  • Enforcement Decree of the Special Act on Strengthening the Competitiveness of Materials, Parts and Equipment Industries and Stabilizing Supply Chains, Article 27
  • Enforcement Decree of the Special Act on Strengthening the Competitiveness of Materials, Parts and Equipment Industries and Stabilizing Supply Chains, Article 82
  • Enforcement Rule of the Special Act on Strengthening the Competitiveness of Materials, Parts and Equipment Industries and Stabilizing Supply Chains, Article 4
  • Enforcement Rule of the Special Act on Strengthening the Competitiveness of Materials, Parts and Equipment Industries and Stabilizing Supply Chains, Annex 1

Checked against the statutes on

Statutes and public notices change, so each case needs to be checked individually. Statute titles are given in English for reference. The Korean statutes are the authoritative text.

Check these first

  • A confirmation obtained by false or other fraudulent means must be cancelled. Check each product's classification code first so that sales of products not listed in Annex 1 are not counted as materials, parts and equipment sales.
  • Sales on the application are based on the previous year. The sales evidence, audit report or financial statements, and review opinion must all cover the same fiscal year for the sales share to be confirmed.

Frequently asked questions

What are the requirements for materials, parts and equipment specialized company confirmation?
Both of two requirements must be met. Materials, parts and equipment sales must be at least 50% of total sales, and a company belonging to a business group subject to limitations on cross-shareholding must keep sales to its own affiliates below 50% of its materials, parts and equipment sales. A company not belonging to such a business group is assessed only on the first requirement.
Can an affiliate of a large business group be confirmed as a specialized company?
Yes, under conditions. Even a company belonging to a business group subject to limitations on cross-shareholding can be confirmed if sales to its own affiliates are below 50% of its materials, parts and equipment sales. This ratio is calculated separately and entered in the sales breakdown on the application.
How long is the specialized company certificate valid?
3 years. Article 23(3) of the Enforcement Decree of the same Act sets the validity period at 3 years. If you want to keep using the confirmation, it is advisable to schedule a new application based on the previous year's sales before it expires.
Where do I apply for specialized company confirmation, and is there a fee?
You apply to the Korea Planning and Evaluation Institute of Industrial Technology, and there is no fee. The confirmation and certificate issuance duties of the Minister of Trade and Industry are entrusted to this institution under Article 82 of the Enforcement Decree.
Does an administrative agent handle specialized company confirmation applications?
Yes. Hwang Yunsang Administrative Office checks whether your products fall within the scope of Annex 1 of the Enforcement Rule, prepares the specialized company confirmation application, organizes attachments such as sales evidence and financial statements and submits them to the Korea Planning and Evaluation Institute of Industrial Technology on your behalf, and organizes supplementary materials requested during the review.

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Contact us

Hwang Yunsang Administrative Office in Songdo, Incheon prepares and submits administrative documents and explains the procedure. If your situation is similar, send us a message.

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This guide is general information based on public sources. Requirements, documents and deadlines differ by case and by the competent agency, so please confirm them before you proceed.