In 2025, Foreign Direct Investment (FDI) into South Korea reached a record high of $36.05 billion on a reported basis, marking a historic milestone. This achievement is particularly significant as it was accomplished amidst global economic slowdowns and weakened investment sentiment, proving that Korea has firmly established itself as a central hub for global high-tech industries.
The core of this success lies in the "qualitative growth" of investment rather than just numerical increases. Notably, greenfield investments—which involve the direct establishment of factories and business sites—hit a record $28.59 billion, directly contributing to the real economy. Furthermore, proactive investment promotion activities triggered by the 2025 APEC Summit played a decisive role in attracting large-scale investments in strategic sectors such as semiconductors, secondary batteries, and AI data centers.
With the government’s strong commitment to enhancing incentives and improving regulations, foreign-invested companies are expected to further solidify their presence in the Korean market through both new entries and the expansion of existing facilities.
📌 Summary of 2025 FDI Key Points
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Achieving Record-Breaking Performance: With a reported amount of $36.05 billion (+4.3%) and an arrived amount of $17.95 billion (+16.3%), FDI saw simultaneous growth in both quantity and quality.
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Investment Driven by the U.S. and EU: Investments from the U.S. surged by 86.6%, primarily in AI infrastructure and semiconductors, while the EU also carried out large-scale investments in the chemical and distribution sectors.
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Strong Performance in High-Tech Manufacturing and Services: Growth was led by manufacturing investments directly linked to supply chains (chemicals, metal processing) and high-value service sectors (AI data centers, online platforms).
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Expansion of Balanced Regional Investment: Investments in non-metropolitan areas increased by 10.9% year-on-year, confirming the potential to strengthen industrial ecosystems outside the capital region.
(Source: 2025 Annual FDI Trends Briefing, Ministry of Trade, Industry and Energy)
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