Ulsan City Launches Project Aiming for Completion by 2030
Expectations for Establishing a Hub for New Growth Industries and Timely Supply of Industrial Sites
Ulsan City is set to fully launch the ‘Ulsan Onsan National Industrial Complex Expansion Project’ aimed at expanding the oversaturated Onsan National Industrial Complex.
The city announced that the ‘Onsan National Industrial Complex Expansion Project’ has passed the preliminary feasibility study conducted by the Ministry of Economy and Finance and the Korea Development Institute (KDI).
The preliminary feasibility study results showed that the economic feasibility (B/C), calculated as the benefit-cost ratio, is 1.19, and the comprehensive evaluation (AHP), considering policy factors (implementation effects, regional balanced development, etc.) and profitability, is 0.597, securing the ‘project’s validity.’
An economic feasibility (B/C) above 1 indicates economic viability, and a comprehensive evaluation (AHP) above 0.5 signifies the project’s feasibility for implementation.
Before the preliminary feasibility study, Ulsan City directly visited companies to secure letters of intent for relocation, driving corporate demand up to 339% to ensure economic feasibility.
During the preliminary feasibility study process (including site visits), the project implementers, Korea Industrial Complex Corporation and Ulsan Urban Corporation, visited the Korea Development Institute (KDI) multiple times to explain the ‘necessity of the project,’ earning passing marks.
Following the project’s passage of the preliminary feasibility study, the city plans to develop an industrial complex from 14.8 million to 1.48 million square meters by 2030 in Yongam-ri, Cheongnyang-eup, Ulju-gun, and Haknam-ri, Onsan-eup areas.
A total project cost of 652.1 billion KRW will be invested, jointly implemented by the Korea Industrial Complex Corporation and Ulsan Urban Corporation.
Upon completion, the project is expected to significantly contribute to regional economic revitalization, with an induced production effect of 49.203 trillion KRW, an induced added value effect of 2.0449 trillion KRW, and an employment inducement effect of 30,408 jobs.
Mayor Kim Du-gyeom stated, “Based on the expansion of the Onsan National Industrial Complex, we will establish a nurturing base not only for Ulsan’s core industries such as petrochemical and non-ferrous metal sectors but also for future growth industries like hydrogen and secondary batteries, and we will do our best to supply the insufficient industrial land in Ulsan in a timely manner.”
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