"From Crisis to Leap Forward, 1.5316 Trillion Won"... Pohang Secures Next Year's National Funding to Overcome Steel Industry Crisis and Drive Future Growth

Budget Increased by 108.4 Billion Won Over Government Proposal for Industrial Crisis Response and Future Generation Investment
Local Lawmakers, Bipartisan Political Leaders, North Gyeongsang Province, City and Provincial Council Members, Universities, and Research Institutes Join Forces
Mayor Lee Kangdeok Achieves Results in Securing 2026 National Funding Reflecting the Region's Future in Final Term

From Crisis to Leap Forward... Pohang Launches 1.5 Trillion Won 'Steel Industry Reconstruction Plan' for Next Year!

Pohang City has secured 1.5316 trillion won in the 2026 national investment budget, following the passage of the government budget bill in the National Assembly on December 2. This funding will drive proactive responses to industrial crises, regional industrial restructuring, and the development of advanced new industries.

Pohang City secured 219.2 billion won for 53 new projects and 1.3124 trillion won for 220 ongoing projects. This is an increase of 108.4 billion won from the initial government proposal of 1.4232 trillion won.

Notably, the city achieved significant results by securing a total of 65.9 billion won during the National Assembly review stage for the designation of industrial crisis response areas and regional industrial restructuring.

The five major projects include: ▲ 15.1 billion won in secondary compensation support to overcome the steel industry crisis; ▲ 45 billion won in employment stability support for steel companies and workers; ▲ 4 billion won for establishing a steel industry AI convergence demonstration hub; ▲ 800 million won for a low-carbon circular utilization demonstration project for industrial by-products at Pohang Steel Industrial Complex; and ▲ 1 billion won for building a reliability assessment foundation for export-driven steel pipes.

Mayor Lee Kangdeok stated, "Despite challenging fiscal conditions, I would like to thank Assemblywoman Kim Jungjae, Assemblyman Lee Sanghwi, local political leaders from both parties, officials from North Gyeongsang Province, city and provincial council members, universities, and research institutions for their tremendous support in securing the 2026 national budget." He added, "We will do our utmost to ensure that the secured national funding is fully utilized for overcoming the industrial crisis, revitalizing the regional economy, and investing in future generations through diligent project implementation and management."

Major new projects include: ▲ 3.6 billion won for establishing an AI-converged next-generation cyclic peptide design platform; ▲ 1 billion won for building an AI-based demonstration foundation for graphene 2D nanomaterials and components; ▲ 5.1 billion won for the Pohang Yeongilman Port International Passenger Terminal; ▲ 3.9 billion won for developing wastewater treatment technology for secondary batteries; ▲ 2.3 billion won for establishing a recycling system for key electric vehicle components after use; ▲ 3 billion won to support strengthening the basic competencies of local science and engineering students; ▲ 200 million won for expanding Pohang Station parking facilities; and ▲ 500 million won for nurturing global K-FoodTech companies.

By sector, the SOC (Social Overhead Capital) field includes 30 projects totaling 383.4 billion won, such as: ▲ Yeongilman Grand Bridge construction (121.2 billion won); ▲ Yeongilman Port South Breakwater Phase 2 construction (111.2 billion won); ▲ National Road No. 31 (Pohang to Andong) expansion (50.6 billion won); and ▲ strengthening infrastructure at the Steel Industrial Complex (6 billion won).

Especially in the R&D (Research and Development) sector, 74 projects totaling 627.5 billion won were secured, an increase of 147.7 billion won compared to last year's 71 projects at 479.8 billion won. Of these, 23 projects in the secondary battery, hydrogen, and bio sectors received 82.6 billion won, while 16 projects in the digital and AI sectors secured 32.7 billion won, drawing in substantial core R&D funding to lead future new industries.

This sector includes: ▲ Hydrogen fuel cell cluster establishment (13.1 billion won); ▲ Synchrotron radiation accelerator joint research support (72.9 billion won); ▲ Marine unmanned systems demonstration and evaluation technology development (10.8 billion won); and ▲ Glocal University 30 (POSTECH) (25 billion won).

In other general fields, 169 projects totaling 520.7 billion won were secured, including: ▲ Heunghaeeup sewage pipeline maintenance Phase 2 (14.5 billion won); ▲ Fishing village revitalization project (8 billion won); ▲ Community complex facilities in earthquake-affected areas (7.2 billion won); ▲ Ocheon Hangsa Dam construction (6.6 billion won); and ▲ Yeongildae District coastal maintenance project (6.3 billion won), with many projects aimed at improving living infrastructure and residential environments.

Pohang City began identifying projects for the 2027 national budget at the end of November and plans to hold a national budget acquisition briefing in February. In particular, the city will focus on discovering high-quality projects with a high proportion of national funding, such as new SOC projects subject to preliminary feasibility studies with budgets exceeding 50 billion won and infrastructure expansion projects following the selection as a complex marine leisure tourism city.