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(KPI) Enforcement Decree of Industrial Convergence Promotion Act   

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The Ministry of Knowledge Economy announced that its  Industrial Convergence Promotion Act's Enforcement Decree is in effect as of October 6 after passage at a Cabinet Meeting on September 27. The Act was promulgated on April 5 this year.

With implementation of the Enforcement Decree, the ministry said that it has completed enactment of the Industrial Convergence Promotion Act, promoted since last year to supplement the limitations of separate existing laws and systems and to support creation of new convergence markets in response to the global convergence trend.

The ministry added that accordingly the nation has now established legal and systematic response measures to accelerate convergence for all industries.  

Consisting of a total of seven chapters and 39 articles, the Enforcement Decree stipulates 36 provisions and items mandated by the Act, which are required for its implementation.

While preparing detailed conformity certification procedures to stimulate the development of new industrial convergence products by SMEs, in particular, the Enforcement Decree also takes into consideration SMEs' cultivation and potential for participation when defining the scope of new convergence industries and selecting industrial convergence-type R&D tasks.

With respect to the industrial convergence businesses of SMEs, the decree also prepared the legal basis for comprehensive support for funds, guarantees, sales channels, etc.

Key Content of the Enforcement Decree

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☐ Conformity Certification of New Industrial Convergence Products

    o Provide fast-track certification support within a maximum of six months for new convergence products having difficulties debuting in the market due to a lack of criteria in individual laws and ordinances.

* The conformity certification committee, consisting of related experts, including public officials of competent ministries, discuss preparation of new criteria, etc. and if conformity certification is received, it will be considered to have obtained approval, etc. according to relevant laws and ordinances.

☐ Convergence Activation for SMEs

o When defining the scope of new convergence industries and selecting industrial convergence-type R&D tasks, consider the possibility of SME cultivation and participation and provide package support for funds, guarantees, sales channels, etc. and select and support industrial convergence lead enterprises.

  ☐ Establishment of Industrial Convergence Promotion System 

o Organize Industrial Convergence Development Committee (chaired by Prime Minister), appoint ombudsmen to stimulate convergence, prepare the basic plan for development of industrial convergence,  prepare specific procedures for establishment of specialized graduate schools of industrial convergence.

* Administrators (joint): Knowledge-Economy Minister and Education, Science and Technology Minister / Members: ministers of related ministries, private experts, etc.     

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With implementation of the Industrial Convergence Promotion Act as momentum, the Ministry of Knowledge Economy intends to promote follow-on legal measures so that SMEs can obtain  effects from the enactment of the Act at an early date.

- First, the ministry plans to organize an Industrial Convergence Development Committee chaired by the Prime Minister as the  control tower for national industrial convergence policy in December this year and prepare the basic plan for development of industrial convergence in March next year to suggest the medium and long-term industrial convergence development vision and strategy from a national perspective.

- To accelerate activation of industrial convergence for SMEs, it plans to firmly establish the conformity certification system as soon as possible and also to operate an industrial convergence promotion ombudsmen (appointed in November this year) system that will identify and address industrial convergence-related corporate difficulties.

* It intends to complete voluntary certifications for photovoltaic, LEDs, USN measuring instruments, trucks-forklifts, etc. in October and publicize and share voluntary certification procedures and implications. 

* To provide SMEs with opportunities for innovative growth through industrial convergence, it plans to establish an industrial conversion roadmap in December and also to secure new budget for promotion of SMEs' development of new industrial convergence products.

- It intends to prepare industrial convergence promotion support systems, including development of an industrial convergence index in December as an indicator for measuring the achievement level of industrial convergence, products, R&D, etc. and designation of industrial convergence support centers as the key player to support industrial convergence-related policies and enterprises.

Meanwhile, the ministry held the 1st Industrial Convergence Week (September 28~October 1) event at KINTEX in order to induce public interest following the implementation of the Industrial Convergence Promotion Act.  For SMEs based in provinces, it plans to hold regional explanatory sessions to introduce the major content and policy direction of the Industrial Convergence Promotion Act.

Director-General for Emerging Industries Kim Jae-Hong at the Ministry of Knowledge Economy said, "With implementation of the Industrial Convergence Promotion Act, our ministry has fully prepared the legal and systematic foundation to stimulate convergence throughout industries."

He emphasized, "Now, it is important that our SMEs take the initiative to identify diverse business opportunities utilizing the legal and systematic foundations and pursue substantial achievements."

 

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