Gyeongnam Unleashes 10.92 Million Sqm of Land for Industrial and Urban Growth

Changwon, South Korea - Gyeongnam Province is set to undergo a major economic transformation following the South Korean government’s approval to lift development restrictions on 10.92 million square meters (1,092 hectares) of land. This marks the largest greenbelt release in 17 years, a decision that positions Gyeongnam as a key player in South Korea’s industrial expansion, logistics advancement, and research-driven innovation. The province successfully secured the highest number of selected projects nationwide under the National and Regional Strategic Projects Initiative led by the Ministry of Land, Infrastructure, and Transport.

• A global logistics hub in Jinhae, leveraging its proximity to major ports and the upcoming Gadeokdo International Airport.
• A high-tech research and development (R&D) district in Changwon, fostering innovation in collaboration with leading national institutes.
• An advanced manufacturing cluster in Jinyeong, focusing on next-generation mobility, robotics, and semiconductor industries.
• A mixed-use urban living complex in Masan, designed to accommodate a growing international workforce and aging population.

This large-scale development plan is expected to strengthen Gyeongnam’s competitiveness, attract new industries, and create thousands of high-quality jobs, addressing longstanding challenges such as limited industrial land, job mismatches, and regional economic imbalances.

For decades, greenbelt restrictions have hindered industrial growth in Gyeongnam, limiting opportunities for expansion despite increasing demand for development-ready land. Recognizing the urgency of regulatory reform, Gyeongnam actively worked with the central government and other regional authorities to push for policy adjustments that would allow for strategic development projects.

This effort led to a landmark amendment to the National Spatial Planning Guidelines in April 2024, which enabled selective greenbelt releases for high-priority economic zones. The province then submitted 12 development proposals, of which four were approved after rigorous evaluation by urban planning experts and policymakers. The final decision, confirmed during a Cabinet meeting on February 25, 2025, allows for the largest coordinated land release in Gyeongnam’s recent history.

The newly approved development zones will introduce state-of-the-art industrial and urban clusters, each strategically designed to maximize regional strengths.

Jinhae’s proximity to key maritime and air transport routes makes it an ideal location for a modern logistics hub. This project aims to integrate port, airport, and rail logistics infrastructure into a seamless "Tri-Port" system, reducing supply chain inefficiencies and strengthening South Korea’s trade network.

Unlike traditional land reclamation projects, this development will rely on efficient land-based expansion, accelerating construction while ensuring environmental sustainability. Once completed, the logistics zone will expand to 1,102 hectares, making it 2.7 times larger than its current size and significantly enhancing its capacity for high-value logistics and supply chain operations.

The project is expected to attract 2 trillion KRW in direct investment, generate 4.1 trillion KRW in production-induced effects, and create over 26,107 jobs during its construction and operational phases.

Changwon’s new Urban Convergence R&D District is set to become a national center for technological research and industrial innovation. Anchored by Changwon National University, the district will bring together leading research institutes, including the Korea Electrotechnology Research Institute, the Korea Institute of Machinery and Materials, and the Korea Institute of Energy Research.

By fostering collaboration between academia, government, and industry, the district aims to boost regional competitiveness in advanced manufacturing, smart energy, and defense technology. Additionally, the project seeks to create high-quality employment opportunities, particularly for young professionals, helping to mitigate Gyeongnam’s workforce decline.

The economic impact of this district includes 800 billion KRW in direct investment, a projected 1.3 trillion KRW in production effects, and the creation of 14,802 jobs in research and development-intensive industries.

Gimhae’s industrial sector has struggled with a shortage of available land, despite its strategic location near Busan and Ulsan. The new Jinyeong Tech-Up Industrial Complex will address this gap, positioning the region as a hub for future mobility, robotics, hydrogen energy, and semiconductor industries.

The project will transform Gimhae’s manufacturing ecosystem, supporting the transition from traditional manufacturing to high-tech production. This transformation is expected to generate 300 billion KRW in direct investment, 600 billion KRW in production benefits, and 2,629 new jobs.

To accommodate a growing international workforce and aging population, Gyeongnam is launching a smart urban living district in Masan, near Masan Station. This project will revitalize outdated residential and commercial zones, integrating modern housing, public services, and smart infrastructure.

The district will feature facilities tailored for foreign professionals, students, and retirees, creating a dynamic, inclusive community. In addition to expanding housing and public transport accessibility, the development aims to enhance economic opportunities by attracting knowledge-based industries.

The projected economic impact includes 300 billion KRW in investment, 500 billion KRW in production benefits, and the creation of 5,728 new jobs.

With land scarcity and economic imbalance posing long-term challenges, the approval of these projects marks a critical turning point for Gyeongnam. By securing a large-scale greenbelt release, the province has paved the way for industrial expansion, job creation, and sustainable urban growth.

To ensure responsible development, the province has designated all four sites as Land Transaction Permit Zones for three years (March 2, 2025 – March 1, 2028), preventing real estate speculation and ensuring land is used for its intended industrial and economic purposes.

As South Korea’s economic landscape continues to evolve, Gyeongnam is positioning itself at the forefront of regional innovation and industrial modernization, setting the stage for a new era of sustainable economic growth