Introducing spatially tunable interactions to atomic Fermi gases makes it feasible to study two phenomena, the proximity effect and spatial Kibble-Zurek mechanism (KZM), in a unified platform. While the proximity effect of a superconductor adjacent to a normal metal corresponds to a stepfunction quench of the pairing interaction in real space, the spatial KZM is based on a linear drop of the interaction that can be modeled as a spatial quench. After formulating the Fermi gases with spatially varying pairing interactions by the Bogoliubov-de Gennes (BdG) equation, we obtain the profiles of the pair wavefunction and its correlation function to study their penetration into the noninteracting region. For the step-function quench, both correlation lengths from the pair wavefunction and its correlation function follow the BCS coherence length and exhibit the same scaling behavior. In contrast, the exponents from the two correlation lengths are different in the spatial quench. Only the exponent from the pair correlation function agrees with the KZM prediction. Therefore, the spatial quench allows more refined analyses of the correlation lengths from different physical quantities. Moreover, adding a weakly interacting bosonic background does not change the scaling behavior. We also discuss relevant experimental techniques that may realize and verify the inhomogeneous phenomena.