Contents. 3. One Million Car Production Base Cluster Project

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2 2 Contents 1. Project Electric Vehicles and Hydrogen Fuel Cell Vehicles Industry Development 2. Gwangju Center for Creative Economy & Innovation to Build Hydrogen Hub City 3. One Million Car Production Base Cluster Project

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4 Hydrogen Vehicles Promotion Accomplishments Proposed Hydrogen Car Promotion Project to MoE: Dec Confirmed Hydrogen Car Promotion & Charging Infrastructure Deployment Project: Jan Decided policy for expanding Hydrogen Car Promotion & Charging Infrastructure Deployment Project: Apr Hydrogen car supply: 23 units ( 14: 5 units / '15: 10 units / '16: 8 units) - Charging infrastructure: 1 unit(750bar) / built in 2014 Began verification project with purchasing 2 FCEVs: Jun Purchased additional 3 FCEVs: Dec

5 6 Background Promote Electric Vehicle Infrastructures through win-win cooperation with Korea Electric Power Corporation(KEPCO) Contents 1. Expansion of fast charging electric vehicle infrastructure - No. of installation: up to 120 units until 2020 (20 units/year) - Installation place: major public institutions, public parking lots, etc. - Roles Gwangju: provide fast charger installation sites and free-use approval KEPCO: monetization model through the charging infrastructure and operations 2. Promotion of electric bus demonstration & car-sharing projects - Test run: 4 electric buses - Car Sharing Pilot Project

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7 Project Direction Perform start-up business hub of automotive-related industries Establish a hydrogen economy based on hydrogen fuel cell vehicles with front back industrial ecosystem composition Construct models of the creative economy expansion of people s living. Classification 1st Center 2nd Center Main business Support start-ups of automotive related industries Ecosystem composition of FCEV front back industry Support for the construction of smart industry Creative Traditional market upbringing Business owners support Living entrepreneurship support Creative Cultural Village Development Project Location Gwangju Institute of Science and Technology, Ohryongdong, Buk-gu, Gwangju KDB Building 16th floor, Yangdong, Seo-gu, Gwangjuy West Area 1,190m² (360 pyung) 1,091m² (330 pyung) 8

8 9 City of light, Gwangju, leading creative economy with automotive industry Auto industry incubator Value chains of FCEV front back industry Smart factory building support Creative economy platform for better living Foster start-up ventures in various carrelated equipment, components, SW areas Joint academyindustry pilot projects and demonstration projects for expanding the FCEV technology Support a smart factory built in Gwangju for small venture companies Suggest models for supporting the improvement of civic life through creative economy

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10 Project Definition Infrastructure project to build 1 million production platform National initiatives for promoting national car industries Purpose Creating and realizing win-win model manufacturing innovation through social grand consensus Auto parts suppliers inter-cluster composition High-productivity model formed by improving employment structure and management culture Building future cars creative convergence technology system Creative convergence technology system for big four in global automotive market based on convergence technology such as ICT and energy 11

11 Name Period Partners Location Budget One Million Car Production Base Project (total 6 years) MOTIE, Gwangju, KIAT, Gwangju Green Car Foundation Gwangju Light Green Industrial Complex (4,068m 2 ) total billion KRW (national 485.4, local 284.4, private 64.9) Contents Detailed Projects Estimated Budget (billion KRW) Car only national industrial complex 66.6 Promising technology development of specialized fields Green car innovation cluster composition (including R&D, HR development)

12 Vision Objective (Government) Contribute to the employment rate of 70% through the rebounding national manufacturing industry (Regional) Preparing for 1 million car production through technology and production innovation Realize a west-coast car belt hub city and a global supply platform - Secure more than 100 locations and infrastructure-based through integration - Logistics costs Acquire environmental-friendly leading technologies such as electronic, light weight, powertrain efficiency - Improve fuel economy 35% in 2025 and achieve 25% weight reduction rate Business Automotive dedicated national industrial complex - Light Green Industrial Complex (4068*1000 m 2 ) - CBU complex (2495*1000 m 2 ) - Parts industrial complex (1,573*1000 m 2 ) Rental site (77*1000 m 2 ) R&D - Clean diesel / Diesel HEV powertrain -Eco-friendly light car and parts production -Eco-friendly car technology, high efficiency electric parts - Convergence of high valueadded special purpose vehicle technology Infrastructure Corporate Support, HR -Integrated support center for - convergence electrical parts -Automotive Lightweight Support center - Rollover crash comprehensive test - Special Purpose Vehicle Support center - Green Auto business center - Resource Recycling Center - Corporate Support, Human Resources 13

13 Realization of export hub city to be achieved through the building of west coast belt Automotive Industry Hub City Improve R&D capacity of automotive makers and regional cooperation to strengthen SMEs, Establishing partnerships Environmental-friendly vehicles, special-purpose cars, tuning technology development capabilities accumulation Industrial Benefits Contributing to the green car technology to achieve big four in global market and to the Smart Car' national plan Economical Benefits National production 1,503 billion KRW, value 461 billion KRW, causing 11,510 employment expectations Local production billion KRW (64.8% of nationwide), value 236 billion KRW (51.2% of nationwide), employment 7,145 people (62% of nationwide) 14

14 Thank you! 15