Busan, Ulsan and Gyeongnam Build Mega-Region Economy to Rival Seoul
Busan, Ulsan, and Gyeongnam are creating a mega-region economy to compete with Seoul. This initiative links Busan's logistics, Ulsan's manufacturing, and Gyeongnam's advanced industries. The goal is a single value chain spanning research to exports. This economic bloc serves 7.54 million people and generates 366 trillion won in GRDP.
South Korea's Busan, Ulsan, and Gyeongnam regions are integrating their industrial bases to form a single economic bloc. The effort counters population loss and worker shortages in core manufacturing sectors. The combined region accounts for 20% of the country's manufacturing output and 80% of its shipbuilding. This consolidation aims to build scale and competitiveness, moving beyond individual regional competition.
The plan targets four growth engines: advanced shipbuilding, next-generation mobility, aerospace and defense, and nuclear power. Busan offers logistics and digital capabilities. Ulsan provides large-scale production in autos and shipbuilding. Gyeongnam specializes in precision manufacturing for aerospace and defense. This division of roles creates a value chain from R&D to exports within a one-hour commuting zone.
The test for this mega-region is whether it can reverse the flow of young talent to the capital. Joint bids for national projects are a start. However, sustained population growth and attracting new industrial workers will be the real measure of success for this 7.54 million-person economic bloc.
Related reading
6 stories
Singapore Retailers Embrace AI; Consumers Are More Cautious
Atome Deal Could Lift Grab’s 2028 Earnings by Up to US$220 Million
Bank of Japan set to raise interest rates to 31-year high
Bank of Japan raises rate to 31-year high of 1.25%, with two board members dissenting
Bank of Japan raises rate to 31-year high of 1.25% as inflation risks mount
