Table of Contents
- Busan Manufacturing Industry Shifts into AI Transformation
- Busan as a Hub for Industrial Innovation Centered on Shipbuilding Equipment
- Building a 'Smart Shipbuilding Equipment Hub' through the Convergence of Digital Twin, AI, and AR Technologies
- Collaboration System with Busan Technopark, Pusan National University, and Industrial Complex Corporation
- Expectations for a New Turning Point in Busan's Industry
- Frequently Asked Questions (FAQ)
Busan Manufacturing Industry Shifts into AI Transformation
The "Myeongji-Noksan AX Demonstration Industrial Complex Project" being promoted by Busan City has been finally selected for the Ministry of Trade, Industry and Energy's 2025 public recruitment project.
This project is a large-scale initiative aimed at establishing an AI-based eco-marine materials, parts, and equipment industrial hub, centered around the Myeongji-Noksan National Industrial Complex, which is expected to contribute to the revitalization of the local economy.
Busan as a Hub for Industrial Innovation Centered on Shipbuilding Equipment
Busan Metropolitan City plans to invest 24.9 billion won over a total of 40 months from September 2025 to December 2028 to create a demonstration complex. The funding consists of 14 billion won from the national budget, 6 billion won from the municipal budget, and 4.9 billion won from private sources. The Myeongji-Noksan Industrial Complex is recognized as the largest aggregation of shipbuilding equipment in Korea, accounting for 28.5% of production and 32.2% of exports in Busan manufacturing, making it the most suitable site for the AX demonstration complex.
AX stands for Artificial Intelligence Transformation, a new industrial paradigm that changes all processes of a company to be AI-centric beyond traditional Digital Transformation (DX). Busan aims to establish an industrial ecosystem that moves from 'digital transformation to AI transformation.'
This effort is expected to positively impact not just Busan's industrial development, but also the revitalization of the local economy.
Building a 'Smart Shipbuilding Equipment Hub' through the Convergence of Digital Twin, AI, and AR Technologies
The core of this project is the establishment of a "Digital Twin" based on eco-marine specialized processes. A digital twin is an innovative technology that replicates real objects or systems in a virtual space, performing real-time data integration, prediction, and optimization functions.
Busan is preparing various demonstration systems in phases. First, it plans to create an integrated digital twin platform that combines logistics, energy, traffic infrastructure with drone and satellite data to achieve a multi-dimensional monitoring system that encompasses ground, sky, and space.
Secondly, the automation of road and facility management will be promoted. AI analysis services will be demonstrated, detecting risk factors such as road depressions or worn-out lane markings using drone footage.
Thirdly, a large-scale language model (LLM) for shipbuilding equipment will be developed. This will lead to the development of software-as-a-service (SaaS) based on AI autonomous manufacturing using professional data such as ship regulations and classification rules.
Lastly, an innovation in assembly processes using augmented reality (AR) technology will be pursued. An AX leading plant will be established that enhances production efficiency by linking workers' AR devices with 3D work information. These plans are expected to make significant contributions to the industrial development of Busan.
The Myeongji-Noksan AX Comprehensive Support Center has been established. This center will formulate medium to long-term plans, operate industrial coalitions, and integrate support for AI demonstrations for participating companies.
Collaboration System with Busan Technopark, Pusan National University, and Industrial Complex Corporation
This project, organized by Busan Technopark (Busan TP), involves the Korea Industrial Complex Corporation Busan Regional Headquarters as the dedicated agency. In addition, a total of 8 organizations, including Pusan National University, Naver Cloud, Busan Shipbuilding Equipment Industry Cooperative, and Busan Machinery Industry Cooperative, have formed a collaboration system.
Since early this year, the city has been enhancing collaboration among private, public sectors, academia, and research institutions to proceed with the recruitment project. It can be said that this collaboration played a significant role in the final selection by the Ministry of Industry.
Expectations for a New Turning Point in Busan's Industry
Through this new project, Busan aims to advance the shipbuilding equipment industry with cutting-edge and eco-friendly, autonomous navigation technologies to develop the eco-marine industry in earnest. Additionally, it plans to increase the AI adoption rate among small and medium manufacturers by distributing field-centered AI technologies and fostering a smart manufacturing innovation ecosystem.
In particular, it is planning a strategy to ensure the practical applicability and reliability of AX technology to develop AI autonomous manufacturing technology models that fit the characteristics of industrial complexes and diffuse them nationwide. These efforts are expected to further enhance the competitiveness of Busan's manufacturing industry.
Busan expects the Myeongji-Noksan AX demonstration industrial complex project to be a turning point for Busan manufacturing to enter the 'AI transformation (AX)' era, beyond digital innovation. It also stated plans to continue active support for strengthening the global competitiveness of local industries.
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Frequently Asked Questions (FAQ)
Q. What is the Myeongji-Noksan AX Demonstration Industrial Complex project?
It is a government recruitment project to establish an AI-based materials, parts, and equipment industrial hub in Myeongji-Noksan Industrial Complex in Busan.
The Myeongji-Noksan AX Demonstration Industrial Complex project, selected for the Ministry of Trade, Industry and Energy's 2025 public recruitment, is a large-scale initiative to create an AI-based eco-marine materials, parts, and equipment industrial hub centered around the Myeongji-Noksan National Industrial Complex. It plans to invest approximately 24.9 billion won over about 40 months from September 2025 to December 2028 to develop a smart shipbuilding equipment hub and contribute to revitalizing the local economy.
Q. What does AX stand for and what goals does Busan have?
AX stands for Artificial Intelligence Transformation, and Busan aims to build an AI transformation industrial ecosystem.
AX (Artificial Intelligence Transformation) represents an industrial paradigm that transforms all company processes to be AI-centric, beyond conventional Digital Transformation (DX). Busan aims to lead the AI transformation in critical industries, such as shipbuilding equipment, and establish an industrial ecosystem that enhances productivity and competitiveness based on AI.
Q. What key technologies and demonstration systems are used in this project?
Innovative technologies including digital twin, AI analysis, large language models, and augmented reality will be demonstrated.
The core of the project is the establishment of a digital twin, which will integrate logistics, energy, and transportation data within the industrial complex with drone and satellite data to create a multi-dimensional monitoring system. Road and facility management will be automated using AI-based drone video analysis, and a large-scale language model (LLM) for shipbuilding equipment will provide AI autonomous manufacturing SaaS services. Additionally, an AX leading plant will be established, incorporating AR technology to enhance work efficiency.
Q. What is the role of the Myeongji-Noksan AX Comprehensive Support Center?
It is a hub that integrates management of medium to long-term planning and AI demonstration support for companies.
The Myeongji-Noksan AX Comprehensive Support Center will formulate medium to long-term strategies for this demonstration industrial complex project, operate industrial coalitions, and comprehensively manage AI demonstration support for participating companies. This will facilitate the efficient execution of the project and accelerate the AI transformation of local industries.
Q. What industrial effects and visions does Busan expect from this project?
Advancements in the shipbuilding equipment industry, expansion of AI distribution, and strengthening global competitiveness are expected.
With the Myeongji-Noksan AX demonstration industrial complex project, Busan plans to advance technological sophistication in the shipbuilding equipment industry, and solidify ecological and autonomous navigation technology proof. Implementing field-centric AI technologies will increase AI adoption rates among small and medium enterprises and foster a smart manufacturing innovation ecosystem. There are expectations for the development of AI autonomous manufacturing technology models based on AX and their nationwide distribution, enhancing the competitiveness of Busan's manufacturing sector.