GUNSAN, North Jeolla Province — At Zone 5 of the Saemangeum Industrial Complex, construction sites for LS L&F Battery Solution and PKC (formerly Baekgwang Industrial) were operating at full capacity during a recent visit. Construction workers' vehicles lined the main roads, and nearby restaurants set up temporary dining facilities at the work sites to serve lunch to hundreds of workers constantly moving in and out.
Gunsan's economy, which nearly collapsed after GM Korea's withdrawal in 2018, is rebounding on the back of expanded corporate investment. According to the city government, 55 companies including LG Chem, HD Hyundai Construction Equipment, DS Dansuk, and SeAH Steel have committed to invest a combined 12.04 trillion won ($8.5 billion) in Gunsan over the past three years from 2023 to 2025.
The city estimates these investments will create nearly 10,000 new jobs. With corporate investment surging, the Saemangeum Industrial Complex has reached a 97% occupancy rate, prompting the Saemangeum Development Authority to begin sales of Zones 4 and 7-9 in the second half of this year.
HD Hyundai Heavy Industries, which had shut its shipyard due to an industry downturn a year before GM Korea's exit, has recently distributed over 10 million won in bonuses to employees and subcontractors as block production increased. The turnaround marks a stark contrast to eight years ago, when 18,000 workers lost their jobs after the shipyard and GM Korea's Gunsan plant closed.
The government and local authorities' plan to establish a 10GW renewable energy supply system by 2030 for companies in the Saemangeum complex is also expected to boost Gunsan's economy. The complex currently relies on 0.3GW of onshore solar power and an OCI Group cogeneration plant, but will expand capacity through floating solar installations to become an RE100 industrial zone.
Hyundai Motor Group is also reportedly set to announce plans to invest 10 trillion won over five years in Saemangeum for AI, hydrogen, and robotics businesses. The Saemangeum site, 140 times the size of Seoul's Yeouido district with abundant sunlight, offers ideal conditions for AI data center development.