The industry minister of Seoul highlighted the significance of prevailing in the artificial intelligence (AI) war alongside the ongoing conflicts in the Middle East. While the Middle East war is visibly pressing, winning the AI battle holds greater importance for South Korea’s future, according to Kim Jung-kwan. He stressed that losing the AI war could lead to the loss of future jobs and a decline in manufacturing competitiveness.
Kim pointed out that South Korea recently allocated a substantial budget for war response, with a significant portion dedicated to addressing the economic repercussions of the U.S.-Iran conflict. Notably, the industry ministry set aside funds for the “Manufacturing AI Transformation (M.AX)” initiative, aiming to secure the country’s global leadership in manufacturing through successful AI integration.
The minister expressed concerns about the aging workforce in South Korea’s manufacturing sector and the need to pass on expertise to the younger generation to maintain competitiveness. He argued that embracing AI transformation could redefine the industry, making it more competitive and less labor-intensive. Kim emphasized that AI advancement is crucial for South Korea to excel in industrial productivity against countries like China, the U.S., and Japan.
To enhance its manufacturing competitiveness, Seoul established the M.AX Alliance with key local companies and leading AI firms. The alliance’s objectives include mass production of humanoid robots by 2029 and the establishment of 500 AI factories by 2030. Additionally, diversifying import sources, internalizing supply chains, and active participation in overseas resource projects are highlighted as essential strategies for South Korea’s economic resilience.
