<p>Korea undertook a variety of supplementary export promotion measures to build on the successful export promotion policies of 1960s. In this regard, the Korean government established “Free Export Zones (FEZs)” in Masan and Iksan after adopting “the establishment act of Free Export Zones” in 1970 and let foreign firms enter Korea to produce export products in these zones. FEZs were established on the back of governmental-wide efforts. The Ministry of Construction was in charge of land and infrastructure, while the Ministry of Commerce and Industry was in charge of managing the FEZs. Investors in FEZs were in principle foreign firms. They benefited from tariff exemptions on imported goods to FEZs as well as from tax incentives and low cost of installation, etc. Among the two FEZs, the Masan FEZ has been regarded as having been more successful than the Iksan FEZ.</p>