1977 Established, Korea's Largest National Industrial Complex
Outdated Parking Facilities and Inconvenient Living Conditions, Young People Avoid It
Recent Regulatory Relaxation, Expectation for Convergence and Complex Facility Construction
Youth Entrepreneurs Gather at Ansan Smart Square Jisan Center
Additional Regulatory Relaxation Needed Including Parking Tower Permission

A view of triple-parked vehicles within the Banwol-Sihwa Industrial Complex. Photo by Kang Hee-jong

A view of triple-parked vehicles within the Banwol-Sihwa Industrial Complex. Photo by Kang Hee-jong

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On the morning of August 31st at 11 a.m., in the Banwol·Siwha National Industrial Complex in Ansan City. About a 5-minute drive from Siwoo Station on the Seohae Line of the Seoul Metropolitan Subway, the main roads were transformed into parking lots. Cars were densely parked in two rows not only on the shoulders but also on the sidewalks. The side streets were no different. Both shoulders of the four-lane roads were inevitably used as parking lots.


The Banwol·Siwha Complex, which began with the creation of the Banwol Complex in 1977, played a leading role in Korea's industrialization. It houses 20,484 companies and employs 254,000 people, making it the largest national industrial complex in the country. However, since it was developed in the 1970s and 1980s, most of the facilities are outdated and the infrastructure is weak. Naturally, as young people stopped coming, the aging of the industrial complex has been progressing rapidly. According to data from the Korea Industrial Complex Corporation, 52.3% of workers in the Banwol·Siwha Complex are aged 40 or older.


The biggest difficulty is the weak transportation facilities. Although the Seohae Line opened Siwoo Station and Wonsi Station within the industrial complex, most are far from the resident companies. Local governments and the corporation operate free commuter buses, but the intervals between buses are long, about one hour.


As a result, most workers here choose to commute by private car. The problem is the severe shortage of parking facilities. When the complex was developed in the past, parking was not adequately considered. Workers have no choice but to use the shoulders and even sidewalks as parking lots. Choi Cheol-ho, chairman of the Smart Hub Managers Association, whom we met here, said, "Because public transportation is inconvenient, 90% of workers in the industrial complex commute by private car," adding, "Parking and traffic congestion are among the biggest difficulties."


Panoramic view of Banwol-Sihwa Industrial Complex. Photo by Kang Hee-jong

Panoramic view of Banwol-Sihwa Industrial Complex. Photo by Kang Hee-jong

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Cultural and convenience facilities are also lacking. It is hard to expect scenes of drinking coffee at a cafe during morning commute or after lunch here. It is unimaginable to stop by a gym after work and post an 'Ounwan (Today's Workout Complete)' certification shot on Instagram.


The 'Smart Hub Complex Cultural Center' located in Wonsi-dong, Danwon-gu, Ansan City, is the cultural center that industrial complex workers can at least use. It has a smart learning room where one can pursue self-development such as English, vocal music, and real estate auction, as well as a swimming pool and fitness center. Hong Ki-bong, head of the Industrial Promotion Division of Ansan City, said, "We are running 13 courses after work, which are very popular among industrial complex workers." It was remodeled with about 4 billion KRW from national and city funds and opened in July last year. During the day, it is mainly used by Ansan citizens.


In fact, this place is quite far from the Banwol·Siwha Industrial Complex. Until now, various regulations prevented complex cultural facilities from entering the industrial complex. Only recently have some regulations been eased, allowing various attempts.


The KDT Knowledge Industry Center Convergence Facility being built within the complex is a representative example. This site changed the land use of a support facility zone, which was previously used as a warehouse, to a complex zone, allowing residential officetels (496 units) and commercial facilities (52 units) to be housed in one building along with the knowledge industry center. It is expected to solve the chronic problems of the industrial complex by providing proximity between work and residence and convenience facilities. A parking space for about 500 cars has also been prepared. Currently, it shows 75% progress and is scheduled to be completed in December this year. Choi Ki-chang, executive director of Ian General Construction, the daytime contractor, said, "The response from nearby industrial complex companies is good, with an 85% sales rate for factories and 95% for officetels."


KDT Convergence Facility Construction Site. Photo by Kang Hee-jong

KDT Convergence Facility Construction Site. Photo by Kang Hee-jong

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In fact, there were many difficulties in establishing the convergence facility. This project was carried out by utilizing land owned by the Korea Industrial Complex Corporation and forming a private fund. After the preferred negotiator was selected in October 2018, it took one and a half years just to change the land use to a complex zone.

The Korea Industrial Complex Corporation expects more such convergence facilities to be built in the future. This is because the government decided to expand land for worker convenience facilities as one of the 'Measures to Eliminate Killer Regulations on Industrial Complex Sites' at the Regulatory Innovation Strategy Meeting chaired by President Yoon Seok-yeol on the 24th of last month. A special regulation was established to allow the creation of complex land without changing development plans. The budget for the industrial complex environment improvement fund, used for improving residential conditions, will also be expanded.


Bird's-eye view of the KDT Convergence Facility. Photo by Korea Industrial Complex Corporation

Bird's-eye view of the KDT Convergence Facility. Photo by Korea Industrial Complex Corporation

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The Ansan Smart Square Knowledge Industry Center, completed in 2020, is also a facility designed with the younger generation's demand in mind. This building, with one basement floor and 13 floors above ground, has 1,074 factory units and 265 support facility units. On the first and second floors, there are commercial facilities such as restaurants, banks, tax offices, cafes, and convenience stores. From the third floor, it consists of apartment-style factories. The area in front of each factory can be used as a parking lot.


Young people who want to start businesses utilizing the infrastructure of the Banwol·Siwha Complex come here. Woojoo Tech, a small shoe manufacturing company, is one such case. Woojoo Tech divided one side of the factory into two floors and decorated the office like a cafe. The other side is used as a warehouse. Cho Hyung-jin, executive director of Woojoo Tech, said, "We moved here because we are close to partner companies in the industrial complex and there are convenience facilities," adding, "It is also good for attracting young talent."


Office view of UjooTech, a tenant company in Ansan Smart Square. Photo by Kang Hee-jong

Office view of UjooTech, a tenant company in Ansan Smart Square. Photo by Kang Hee-jong

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However, due to conditions, only small companies with fewer than 50 workers can move into the knowledge industry center. Traditional manufacturing companies that need to use large, heavy press machines still cannot leave their existing locations. Companies are demanding further deregulation.



Recently, the Smart Hub Managers Association requested the government to ease regulations to allow the installation of parking towers within the industrial complex, but it was not accepted. The parking tower agenda was also excluded from the meeting chaired by President Yoon. To install parking towers on existing factory facility land, land use and height regulations must be eased. The government has stated it will review this in the future. Lee Yong-ho, head of the Location General Division at the Ministry of Trade, Industry and Energy, said, "Since parking towers were identified as a common difficulty nationwide, they were excluded from this regulatory improvement," adding, "We will continue to discuss deregulation."


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

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