[ED] Basic industries' competitiveness - The Korea Times
The Korea Times

Settings

ⓕ font-size

  • -2
  • -1
  • 0
  • +1
  • +2

[ED] Basic industries' competitiveness

Key lies in making segmented, precise responses to market needs

The government has decided to activate special response teams in 11 basic industrial areas to boost the nation's competitiveness in the material, parts and equipment sectors. The move aims to sharpen companies' competitive edge by forming coordination groups in segmented areas and to let them take the lead in research and development. Such was the core content of the government's policy to attain "self-reliance in core strategic materials" unveiled recently.

It will allow related industry groups, which know their respective sectors best, to push for R&D in the material, parts and equipment sectors to enhance efficiency and increase the possibility of commercialization.

The areas the coordinating groups will be launched in include the semiconductor, display, metal, textile, ceramics, electronics, secondary batteries, automobile-aviation, shipbuilding-maritime, and biopharmaceutical sectors. Korea has had a traditional advantage in assembly industries. In contrast, however, the nation lagged in the materials, parts and equipment sectors, which constitute the foundation of most other industries.

That has changed over the past year. Japan's restrictions on the exports of vital industrial materials to Korean companies has forced the country to recognize the importance of these basic industries and set about localizing them through the concerted efforts of the public and private sectors.

Now that Korea has successfully reduced its undue reliance on Japan for many key materials, it needs to lift these sectors several levels higher. Now is the time for the nation to add some depth by localizing primary materials, parts and equipment in each flagship industry.

By doing so, it will be able to sharpen the competitiveness of not just these essential sectors but of flagship industries that use the materials. It is desirable for the government to strengthen overall industrial competitiveness through more active responses to market needs.

After drawing a big picture, what comes next is working out elaborate action plans. Policymakers should prioritize core tasks in each sector, and divide them into short- and long-term programs. Equally important is to establish a tightly-knit system for information exchange and close collaboration. That will help facilitate the natural transfer of similar technology and know-how to neighboring industries.


Key lies in making segmented, precise responses to market needs

The government has decided to activate special response teams in 11 basic industrial areas to boost the nation's competitiveness in the material, parts and equipment sectors. The move aims to sharpen companies' competitive edge by forming coordination groups in segmented areas and to let them take the lead in research and development. Such was the core content of the government's policy to attain "self-reliance in core strategic materials" unveiled recently.

It will allow related industry groups, which know their respective sectors best, to push for R&D in the material, parts and equipment sectors to enhance efficiency and increase the possibility of commercialization.

The areas the coordinating groups will be launched in include the semiconductor, display, metal, textile, ceramics, electronics, secondary batteries, automobile-aviation, shipbuilding-maritime, and biopharmaceutical sectors. Korea has had a traditional advantage in assembly industries. In contrast, however, the nation lagged in the materials, parts and equipment sectors, which constitute the foundation of most other industries.

That has changed over the past year. Japan's restrictions on the exports of vital industrial materials to Korean companies has forced the country to recognize the importance of these basic industries and set about localizing them through the concerted efforts of the public and private sectors.

Now that Korea has successfully reduced its undue reliance on Japan for many key materials, it needs to lift these sectors several levels higher. Now is the time for the nation to add some depth by localizing primary materials, parts and equipment in each flagship industry.

By doing so, it will be able to sharpen the competitiveness of not just these essential sectors but of flagship industries that use the materials. It is desirable for the government to strengthen overall industrial competitiveness through more active responses to market needs.

After drawing a big picture, what comes next is working out elaborate action plans. Policymakers should prioritize core tasks in each sector, and divide them into short- and long-term programs. Equally important is to establish a tightly-knit system for information exchange and close collaboration. That will help facilitate the natural transfer of similar technology and know-how to neighboring industries.



dailyenglish
AD_wooribank

X
CLOSE

Top 10 Stories

go top LETTER

The Korea Times

Sign up for eNewsletter