Manufacturing Market in South Korea

About Manufacturing Market in South Korea

According to Gardner Business Media, a survey and statistics agency in US, Korea was the 4th largest machine tool manufacturer in the world with the total production volume of USD 5.6 billion in 2014. The country is the world’s 6th importer and 7th exporter of machine tools as well. Korea’s total consumption was ranked in 5th place but consumption per person was ranked in 2nd place after Switzerland.

Korea has a large economic territory. According to a survey conducted by a Japanese media agency, Korea has eight no. 1 items in the world, ranked in 4th place after US, Europe, and Japan. Those no. 1 items were semiconductors, automobile parts, smartphones, and display devices, proving the country’s competitiveness in the IT, electronics, and automobile industries. In addition, Korea’s manufacturing industry for shipbuilding, motor vehicles, and steel products has been highly acknowledged in the world, which should be backed up by the machine tool industry. Based on the proven competitiveness in automobiles, electronics, and semiconductors, the country is increasing its economic territory and the demand for machine tools. More recently, Korean manufactures look for equipment optimized for their manufacturing processes rather than focus on famous brand names, and overseas makers are trying to seize this opportunity.

South Korea increases the competitiveness in the global market for machine tool sector and in the industry

As environmental regulations are more tightened, especially in developed countries, the market is endeavoring to increase fuel efficiency, and the Korean industry is intensifying R&D on machine tool systems of advanced materials, combined with processing equipment, tools, processes, control, and operational software, so as to establish production lines for parts/products made of new materials, applicable to the value-added aviation, automobile, and display industries.

Furthermore, Korea will focus on high-end products rather than low or middle priced systems in order to increase competitiveness and secure differentiation in the global market through active development of human resources and original technologies.