World Bank: "South Korea’s Rise as a Tech Power... A Success Story of Industrial Transformation Through Strategic Standards"

Release of the 2025 World Development Report (WDR)

The World Bank (WB) has introduced South Korea as a representative success story of industrial transformation through strategic standardization.

According to the "World Development Report 2025: Standards for Development," released by the World Bank on December 11 (local time), South Korea utilized standards as a strategic tool of industrial policy during its transition from postwar recovery to becoming a leading high-tech nation.

The report defines development standards as core infrastructure underpinning economic growth, trade, technology diffusion, and national competitiveness, and presents the "3A Strategy" for developing countries to leverage standards for advancement. The report identifies key elements in Korea’s industrial transformation as the establishment of laws and systems related to standardization, early government leadership, public-private cooperation, and increased participation in international standard-setting discussions.

President Donald Trump signed a proclamation imposing a 25% tariff without exceptions on steel and aluminum products imported into the United States, and also announced that tariffs on automobiles and semiconductors are under consideration. On February 13, 2025, export vehicles were waiting to be loaded at Pyeongtaek Port in Gyeonggi Province. Photo by Kang Jinhyung

South Korea Introduced as a Leading Example of 'Standard-Based Industrial Transformation'

The World Bank described South Korea’s experience as "a case in which standards and quality infrastructure were systematically integrated in the process of rising from postwar devastation to a global technological powerhouse."

In the early stages of its export-led industrialization strategy in the 1960s, South Korea determined that compliance with international quality and safety standards was essential for entering global markets, and thus established its National Quality Infrastructure (NQI) early on. The enactment of the Weights and Measures Act and the Industrial Standardization Act in 1961 led to the launch of KS (Korean Industrial Standards), and the Export Inspection Act of 1962 made pre-shipment inspection mandatory, directly linking exports with compliance to standards and export potential.

In 1963, the KS Mark certification system was introduced, and certified products received preferential treatment in government procurement, embedding quality management systems in early export industries such as textiles and light manufacturing. That same year, South Korea joined the International Organization for Standardization (ISO), seeking to ensure international compatibility.

From the 1970s to the 1990s, South Korea further advanced its standardization system. In line with an industrial strategy centered on heavy and chemical industries, the metrology capabilities of the Korea Research Institute of Standards and Science (KRISS) were expanded with support from the United States and Germany, further refining the quality infrastructure.

Since the 1990s, the authority to develop standards has been granted to the private sector, enhancing industrial relevance and expanding participation in international standard-setting discussions. Since 2015 in particular, South Korea has actively participated in the establishment of international standards in advanced fields where it holds technological advantages, such as artificial intelligence (AI) and 5G. Recently, the authority to develop KS standards has been distributed among ministries to strengthen expertise and collaboration, reduce redundancy, and further refine the standardization system.

The World Bank emphasized that South Korea’s case is "the result of the government providing vision, legal foundations, systems, and incentives, combined with joint investment by the public and private sectors," highlighting it as a valuable policy lesson for many developing countries.

The World Bank Proposes the '3A Strategy' for Developing Countries

The report suggests that developing countries should adopt a phased approach based on the "3A Strategy (Adapt, Align, Author)" to achieve national development through standards. Adaptation means localizing international standards to fit each country’s capabilities and circumstances; alignment requires that, as national capacity grows, domestic standards be harmonized with international ones; and, after accumulating sufficient capacity, countries should participate (Author) in international standard-setting discussions and contribute to the creation of new standards.

The World Bank stressed that countries should set goals in line with their own standardization capabilities while simultaneously building quality infrastructure. It also recommended that the international community create an environment that enables developing countries to participate in standardization discussions and introduce tiered standards that can be applied to various levels of capability.

The World Bank stated, "South Korea’s standardization strategy was a key driver and accelerator of economic development," and evaluated that "South Korea is a representative country that has transitioned from a 'recipient' to a 'designer' of global standards."

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