Hamyang-gun, Coupang Hamyang Logistics Center Construction Cancelled

by Choi Sungkyung

Published 17 Apr.2023 08:55(KST)

Updated 07 Aug.2025 15:28(KST)

Four Years of Effort in Kindergarten Admission Goes Down the Drain

The construction of the Coupang Hamyang Logistics Center, which has been pursued for over four years in Hamyang-gun, Gyeongnam, has been canceled due to Coupang's notification of project withdrawal.

The Coupang logistics center was planned to be built on a site of 184,175㎡ in Sin-gilri 3-beonji area of Hamyang-gun, with a total project cost of 72 billion KRW and a total floor area of 75,710㎡. The project was expected to create over 300 new jobs, and was predicted to have a significant ripple effect in terms of population inflow and revitalization of the local economy. Therefore, Hamyang-gun had been making continuous efforts to establish the Coupang logistics center.

Hamyang-gun, located at the center of the southern inland region and equipped with transportation networks such as the Gwangju-Daegu Expressway, Tongyeong-Daejeon Expressway, and the soon-to-be-opened Hamyang-Ulsan Expressway, was expected to serve as a forward base for the southern region’s logistics hub by introducing Coupang’s self-developed logistics programs, artificial intelligence (AI), and advanced logistics equipment.

Gyeongnam Hamyang County Office.

After signing an investment agreement in April 2019 among Gyeongsangnam-do, Hamyang-gun, and Coupang, resolving the repurchase rights on the project site, and signing a reinvestment agreement between Coupang and Hamyang-gun in November 2020, the county devoted over two years to these processes and made every effort to build the Coupang logistics center.

During this time, Hamyang-gun established a district unit plan for the early commencement of the logistics center, continuously worked with related agencies for rapid approval processes such as strategic environmental impact assessments, and prepared support measures for future operations, including providing subsidies for acquiring certifications to train new personnel needed for logistics center operations.

In particular, to secure special investment support subsidies for the Coupang logistics center, County Governor Jin Byeong-yeong personally met with the provincial governor to actively request cooperation. To attract companies proactively, the county steadily carried out administrative and financial support procedures, including revising ordinances related to special support for corporate attraction in Hamyang-gun.

Despite these efforts and ongoing consultations with Coupang, Coupang notified Hamyang-gun of the project withdrawal. In interviews with some media outlets, Coupang cited Hamyang-gun’s failure to fulfill the investment agreement terms as the reason for canceling the construction plan. This is a perplexing position for Hamyang-gun, which has faithfully fulfilled all obligations under the investment agreement and awaited the early commencement of the logistics center.

A county official said, “We are saddened by Coupang’s notification of withdrawal from the logistics center construction,” adding, “We will accelerate follow-up measures such as reclaiming the site according to the shared property sales contract and developing the site selected as an investment leading district.”

He continued, “Hamyang’s competitiveness as a logistics hub city connecting Gyeongsang and Jeolla provinces and linking the central and southern regions is undeniable,” and added, “We will leverage Hamyang’s advantages to attract more excellent companies and strive to revitalize the local economy.”