"Civil Servants Do Not Understand Industry"...Transfer to the Relevant Ministry

Elevator Industry Requires Systematic Knowledge in Mechanical, Electrical, and Electronic Engineering... Operational Side Effects from 'Regulation and Management'
Arcade Game Industry Has Significant Backward Ripple Effects in Electronic Components and Animation... Should Be Approached as an Industry, Not Just Culture

The Korea Elevator Industry Cooperative is requesting to transfer its supervising ministry from the Ministry of the Interior and Safety to the Ministry of Trade, Industry and Energy. The photo shows an elevator installed outside a subway station.
[Photo by Asia Economy DB]

[Asia Economy Reporter Kim Jong-hwa] "Civil servants do not understand the industry"

This is the outcry from businesspeople toward the government officials in charge, with whom they have had to work closely for decades. Before the new government took office, voices from the industrial sector demanding the transfer of the responsible ministries elsewhere are growing louder.

The Korea Elevator Industry Cooperative (Elevator Cooperative) states that the elevator industry requires specialized knowledge, including systematic theories of mechanical, electrical, and electronic engineering and an understanding of the industry. However, conflicts began when the Elevator Safety Management Act was enforced in March 2009, and the responsibility was transferred from the then Ministry of Knowledge Economy to the Ministry of the Interior and Safety, which oversees government administrative organization and disaster management.

As the industry was operated with a focus on regulation and management, various side effects such as the collapse of small and medium-sized parts manufacturing companies occurred. The elevator industry claims that the Ministry of the Interior and Safety had few civil servants majoring in mechanical, electrical, and electronic engineering, resulting in a low understanding of the elevator industry and weakening the industrial ecosystem.

Ultimately, the domestic elevator market, worth 4 trillion won and ranked third in the world, saw five major companies?Mitsubishi, Otis, ThyssenKrupp, Schindler, and Hyundai Elevator?dominate 85% of the domestic market within just over a decade, with four of these companies being foreign. The remaining 15% formed a competitive landscape among domestic small and medium-sized enterprises.

Choi Kang-jin, chairman of the Elevator Cooperative, said, "Focusing excessively on safety and neglecting industrial competitiveness has strengthened the market's monopoly structure, resulting in a situation where domestic companies can only watch others celebrate in their own homes." He added, "Institutional support is needed to secure the global competitiveness of the elevator industry and protect domestic companies, and for this, transferring responsibility to the Ministry of Trade, Industry and Energy is urgent."

Arcade game machines waiting for export.
[Photo by Korea Amusement Industry Cooperative]

The Korea Amusement Industry Cooperative (Amusement Cooperative) is demanding the transfer of the responsible ministry to the Ministry of Trade, Industry and Energy to revitalize the arcade game industry. The arcade game industry, which flourished in the 1980s and 1990s with games like Galaga and Tetris popular in electronic arcades, has barely survived since the 2000s.

In 1999, the arcade game industry was transferred from the then Ministry of Commerce, Industry and Energy to the Ministry of Culture, Sports and Tourism, leading it into decline. Despite being a wholesome amusement device that anyone of any age can enjoy together in an open space, the industry claims it faced near extinction due to regulations focused on cracking down on illegal operations.

Ko Byung-heon, chairman of the Amusement Cooperative, said, "Arcade games are a convergent service creative industry with significant industrial ripple effects in electronic components, steel, animation, and design content," adding, "Games should be approached as an industry, but since they are only understood as culture, there is no industrial development. We urge the transfer to the Ministry of Trade, Industry and Energy as soon as possible for the development of the arcade game industry."

In response, a representative from the Korea Federation of SMEs said, "The demand for transferring the responsible ministry essentially asks for solutions to the difficulties their industries face," and added, "Rather than focusing on management depending on the sector, it is desirable to support growth and nurturing more intensively."

This content was produced with the assistance of AI translation services.