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Cooperation in Amnok River Region among South Korea, North Korea, and China

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SPACE & ENVIRONMENT is primarily intended to help foreign experts and professionals in relevant fields understand overall present situations of spatial planning and policy of Korea, and published quarterly by KRIHS.

KRIHS is a government-sponsored research institute founded in 1978 to carry out research on territorial planning and policies of Korea.

Practical Strategies for Trans-border Cooperation in Amnok River Region among South Korea, North Korea, and China

1

New Industrial Location Policy for Job Creation

5

Issue & Trend 8

In-Depth Look 10

Global Partnership 12

News & Announcements 15 March 2014, Vol. 58

The need for and significance of developing the border area between North Korea and China

T

he border area between North Korea and China is a "closed"

area where small-scale exchanges and cooperation are allowed, and only within certain restricted spaces. Despite a number of attempts, including the designation of Shineuiju City as a special administrative district, a trans-border area that is beneficial to both North Korea and China has failed to be established. In addition, the new Amnok River Bridge and Hwanggeumpyeong development projects, which are being led by China, are highly likely to depend upon the intentions of China. However, this border area has the potential of being transformed into a place for exchanges and cooperation if the national borders are opened up. This is because China's technologies and capital together with North Korea's cheap labor, land, and natural resources are very complementary. In the long term, if the area has the proper institutional and physical foundation, it could grow to be a trans-border economic zone which encompasses major areas in the hinterlands.

Currently, North Korea lacks the ability to induce China to develop China's northeastern region in a way that maximizes economic benefits for North Korea and is in the interests of the future economy of a unified Korea. Therefore, in order to promote the reform and opening up of North Korea and economic cooperation in Northeast Asia, and to enhance cooperation with China, it is necessary to expand development cooperation in various aspects, including economic and institutional efforts in the border area between North Korea and China.

In particular, the Amnok River region is an area where the north- south axis on the Korean Peninsula meets with China's northeastern regional development axis, meaning that both Liaoning Province and

Cooperation in Amnok River Region among South Korea, North Korea, and China

Kim Cheon-kyu, Research Fellow

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the central government of China have strategic interests in this area.

Criteria and process for selecting trans-border cooperation projects in Amnok River region In order to select trans-border cooperation projects in the Amnok River region, conditions were analyzed both at the macro level−considering the situation in Northeast Asia and the Korean Peninsula, and at the micro level−narrowing the focus to specific regions, and types of trans-border

cooperation were reviewed. Then, considerations in setting the criteria for selecting trans-border cooperation projects were examined, and the project's necessity, potential, practicality, and possibility of establishing an institutional foundation were chosen as the four selection criteria.

Initially, based on the selection criteria, five projects−Shineuiju (DPRK)-Dandong (China) Transport and Logistics Complex Development, International Tourism Belt along Amnok Riverside Development, Amnok River International Economic Zone Development, Joint Amnok River Water

Necessity of the cooperation project Economic development

Development and sharing of infrastructure

Possibility of establishing an institutional foundation

Selection of trans-border cooperation projects in

Amnok River region Potential of

the cooperation project Practicality of the cooperation project Possibility of establishing an institutional foundation Considerations in establishing

selection criteria for trans-border cooperation projects

Selection criteria for trans-border cooperation projects

Figure 1: Cooperative Project Selection Process

Source: Kim Cheon-kyu et al., “A study on Practical Strategies for Trans-border Cooperation in Amnok River Region among South Korea, North Korea, and China” (Korea Research Institute for Human Settlements, 2013), 88.

Table 1 : Priority Setting Based on the Four Criteria

Trans-border

Cooperation Project Necessity Potential Practicality

Possibility of Establishing an Institutional

Foundation

Priority

Shineuiju (DPRK)-Dandong (China) Transport and Logistics Complex

Development

● ●

1

International Tourism Belt along Amnok Riverside

Development 2

Amnok River International

Economic Zone Development 3

Joint Amnok River Water Resource Management

Project

4

Amnok River Basin Environmental Preservation

Project ○ ○ ○ ○ 5

Source: Kim Cheon-kyu et al., “A study on Practical Strategies for Trans-border Cooperation in Amnok River Region among South Korea, North Korea, and China” (Korea Research Institute for Human Settlements, 2013), 89.

Note: Very Strong Strong Moderate

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Resource Management Project, and Amnok River Region Environmental Preservation Project−were selected as the trans-border cooperation projects.

The Amnok River Region Environmental Preservation Project consists of the forest restoration project and the stream management and disaster prevention project. The forest restoration project can be promoted as a separate project, and the stream management and disaster prevention project can be included in the Joint Amnok River Water Resource Management Project.

Therefore, the Shineuiju (DPRK)-Dandong (China) Transport and Logistics Complex Development, International Tourism Belt along Amnok Riverside Development, Amnok River International Economic Zone Development, and Joint Amnok River Water Resource Management Project were finally selected as the four trans-border cooperation projects.

Major tasks of each trans-border cooperation project

Major tasks of the four trans-border cooperation projects are presented as follows.

Shineuiju (DPRK)-Dandong (China) Transport and Logistics Complex Development Project

Apart from the existing Hwanggeumpyeong- Wihwado economic zone, if the Amnok River International Economic Zone Development is promoted, the transportation network surrounding

the economic zone needs to be improved by constructing more railroads and bridges that link Shineuiju and Dandong and building Shineuiju Special Administrative Region peripheral roads and a highway between Shineuiju and Anju.

In addition, it is necessary to modernize facilities in Donggang Port in Dandong and Shineuiju Port. It is also needed to improve efficiency in logistics by participating in the development of a logistics complex in the hinterlands of Dandong Port.

International Tourism Belt along Amnok Riverside Development Project

Because North Korea has no strategic plan to develop a tourism area along the Amnok River, tourism in this region is expected to be led by China. The tourism site development plan focusing on Dandong City in China proposes a specific strategy that divides the Amnok River region into seven sub-regions from upstream to downstream and makes each sub-region display a unique characteristic. In developing an international tourism area along the Amnok River, a strategy that embraces China's development plans and effectively makes use of the North's tourism resources is needed.

The area for possible international tourism joint development can be divided into four regions:

Dandong-Shineuiju, Kuandian-Supung, Jian- Ganggye and Baekdu mountain regions. The joint development plan for the Dandong-Shineuiju area has the highest practicality and needs to be promoted first.

Amnok River International Economic Zone Development Project

The key to the Amnok River International Economic Zone Development Project is the creation of a new industrial complex in the Dandong-Shineuiju area.

Given the limits of the Hwanggeumpyeong area as a new industrial complex site and the possible expansion of the complex in the future, it is appropriate to select areas near Shineuiju City as the cooperation project's main site. The new industrial complex should be a small- and medium-sized complex, which combines an export processing zone with a free economic zone that focuses on trade and logistics. In order to maximize the potential of the area as a production and distribution center, and to serve as the base for continued

Source: Kim Cheon-kyu et al., “A study on Practical Strategies for Trans-border Cooperation in Amnok River Region among South Korea, North Korea, and China”

(Korea Research Institute for Human Settlements, 2013), 99.

< Legend >

Dandong

Comprehensive Standardized Score 36-54

55-59 60-63 64-66 67-69 70-72 73-75 76-78 79-94 95-98

Candidate Area for Industrial Complex (scored over 95) Industrial Area City Area Dandong

Figure 2: Development Potential of Dandong-Shineuiju Region

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development, the complex needs to be developed to accommodate manufacturing, logistics, and general businesses together.

This study analyzed candidate areas for the new industrial complex, using nine categories−altitude, gradient, stream, road, railway, port, city area, industrial area, and borderline. The areas analyzed were Pyeonganbuk-do (DPRK), Jagang-do (DPRK), Dandong City in Liaoning Province (China), and Tonghua City in Jilin Province (China), The analysis result shows that the 47.7km2 area between northern Shineuiju and southern Shineuiju is the most proper location for the new complex.

Joint Amnok River Water Resource Management Project

The Joint Amnok River Water Resource Management Project focuses on the utilization and control of water.

The purpose of this project is to prevent water disaster along the Amnok River, refurbish existing water power facilities, turn existing dams into multi- purpose dams, and construct new power plants.

Because Supung, Taepyeongman, Unbong, and Wiwon power plants along the Amnok River have deteriorated, they need to be refurbished. To prevent chronic floods and droughts in the downstream area of the Amnok River, and to provide a stable water supply for the international economic zone, it is essential that existing dams be turned into multi- purpose dams. Dredging work is also necessary to prevent damage from the flooding and to invigorate waterway tourism.

A six-phase strategy for implementing trans- border cooperation projects in Amnok River region

Trans-border cooperation projects in the Amnok River region should be conducted gradually, considering the level of tension between the North and the South, the North's determination to open up, speed of the North's opening up in border areas, and the institutionalization of a free economic zone.

The first step is to implement a transport and logistics complex joint development project based either on multilateral cooperation or on the South Korean government's participation. Second, it is expected that tourism projects using existing facilities can be implemented early if there is a North-South

agreement on personal security and residence.

Third, in the initial stages of establishing an international economic zone, development and operation of projects that are led by private companies and are based on a single facility should be encouraged. Fourth, establishing a comprehensive regional development plan and participating in the projects of building principal roads in the Amnok River region can be pursued.

Fifth, establishment of a principal transportation network in the region, expansion and reinforcement of ports, logistics complexes and traffic networks, including Gaeseong-Shineuiju railway and highway construction, can be considered. Sixth, an independent land development project or a joint land development project by South Korea, North Korea, and a third- party country in the North Korean territory of the Amnok River region can be considered in the last stage.

Implementation framework for trans-border cooperation project in Amnok River region In the initial stage of the trans-border cooperation project in the Amnok River region, South Korea should participate in the North Korea-China cooperation process under a governance structure where South Korea is a partner of China, based on an official agreement on trans-border cooperation between South Korea and China.

In the mid- and long-term, based on an official agreement among South Korea, North Korea, and China, Amnok River Region Development Council should be established to promote and manage trans- border cooperation projects in the Amnok River region, and the council would provide technical and financial support for the development projects. The council should be mainly led by the governments of the three countries. Local governments of relevant areas, experts, private companies, and international organizations can participate in the council in the capacity of observers.

In addition, development banks of Korea and China need to lead the way in creating a development partnership fund so that it can provide technical and financial support.

Kim Cheon-kyu ([email protected])

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Research overview

Korea has been suffering from the relatively low job creation since the early 1990s, mainly due to the productivity growth in the manufacturing industry, which makes up the biggest portion of Korean employment. A lack of new job creation in manufacturing even results in regional problems when a region is heavily dependent on manufacturing industries.

From 2008 to 2011, the number of jobs in Korea increased by 1,804,000, from 16,288,280 to 18,093,190, an increase of 11.1%. However, the number of jobs in manufacturing, which has been the traditional basis for Korea’s economic growth, grew only by 1,494,000 or 9.3%−lower than the national average of 11.1%, from 12,963,000 to 14,457,000. In contrast, the employment growth rate of knowledge-

based service industries, such as science and technology services, was 17.5%, significantly higher than that of the manufacturing industry. In particular, among all knowledge-based service industries, the research and development industry showed the highest employment growth rate of 42.7%, which is about five times higher than that of the manufacturing industry. The descriptive statistics of the research shows that job growth is highly concentrated around the Seoul Metropolitan Area (SMA) and its adjacent province, Chungcheongnam-do.

More than half of the jobs in the country were created in the SMA. The regional difference in job creation between the SMA and other regions is noticeable.

Empirical analysis of job creation by region and industry

DHS (Davis, Haltwanger and Schuh) and Esteban-Marquillas shift share analysis were performed to track job changes by region and industry respectively.

As expected, the job growth rate of the manufacturing industry was less than that of other industries and reached a limit to its consistent growth, while it still played an important role in creating jobs in regions other than the SMA.

Interestingly, the DHS analysis showed that the employment absorption rates of knowledge- based service industries, such as the research and development industry and science and technology service industry, are relatively higher than that of other industries. It seems clear that knowledge-based service industries are more sustainable for job creation. In addition, spatial analysis using the local Table 1 : Employment by Region

Region Number of Employees Employment

Growth RankingEmployment Growth RateRanking

2008 2011

National Average 16,288,280 18,093,190 1,804,910 11.0% Gyeonggi-do 3,438,570 3,920,341 481,771 1 14.0% 2

Seoul 4,079,277 4,498,312 419,035 2 10.3% 10

Chungcheongnam-do 641,731 748,377 106,646 3 16.6% 1 Gyeongsangnam-do 1,101,580 1,203,289 101,709 4 9.2% 13 Gyeongsangbuk-do 844,659 945,683 101,024 5 12.0% 6

Incheon 765,014 848,393 83,379 6 10.9% 8

Daegu 739,022 809,381 70,359 7 9.5% 12

Jeollabuk-do 512,017 581,101 69,084 8 13.5% 3

Busan 1,165,574 1,231,887 66,313 9 5.7% 16

Daejeon 450,857 509,740 58,883 10 13.1% 4

Chungcheongbuk-do 498,337 551,917 53,580 11 10.8% 9

Jeollanam-do 535,252 586,908 51,656 12 9.7% 11

Ulsan 404,866 451,987 47,121 13 11.6% 7

Gangwon-do 466,538 502,315 35,777 14 7.7% 15

Gwangju 464,104 499,802 35,698 15 7.7% 14

Jeju-do 180,882 203,757 22,875 16 12.6% 5

Source: Data from Statistics Korea, National Study of Employers.

New Industrial Location Policy for Job Creation

Kang Ho-je, Research Fellow

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Moran’s I showed that job creation and growth of the research and development industry and science and technology service were highly concentrated around the southern SMA, such as Yongin and Seongnam, where Samsung Electronics and the newly developed Pangyo Technopark are located respectively. This is in line with previous studies that show R&D researchers are highly dependent on the urbanization economies around large cities and metropolitan areas.

Findings on the industrial location policies and regional industry policies for job creation Based on the empirical results, more detailed analysis was conducted to figure out whether the industrial location policies including industry complex development and regional industry policies are effective for consistent job creation. The study showed that the Regional Strategic Industry Promotion Project (RSIPP) of the Korean government, which was initiated to create more jobs in lagging regions, had little impact on regional job creation.

A number of strategic industries, which are targeted by the RSIPP, even experienced a significant job decrease in spite of massive government subsidies and support. It is highly suggested that the

government initiatives for job creation and local economic development for lagging regions focus on endogenous and sustainable strategies.

Still, industry complexes have served as centers for South Korea’s economic development, and they are playing a significant role as the strong engines for job creation in most of the regions other than the SMA.

However, the deteriorated old industry complexes in the center of major cities, such as Incheon, Daegu and Ulsan, may need an urgent regeneration to attract knowledge-based industries and create more jobs, since the job growth rates of these cities are lower than the national average. It is highly speculated that such old industry complexes have been a serious impediment to attracting job-friendly industries and investment. However, the growth of non-manufacturing industries in industrial complexes was noticeable. Considering the significant role of industry complexes in job creation, aggressive government support for expanding national industrial complexes is needed, along with inviting more non- manufacturing businesses, which are more job creative than manufacturing businesses.

Conclusion and policy implications

First, a paradigm change is underway faster than expected. The empirical analysis shows that, from 2008 to 2011, the job growth rate was 11% on national average. However, the rate of employment increase for manufacturing was a mere 9.3%.

Without altering the employment structure, which is highly dependent on a manufacturing sector that is facing limits to growth, it is hard to expect job creation, continuous regional economic growth, and national growth. The key to solving this issue lies in making it easy to establish and grow businesses in non-manufacturing industries including R&D, science and technology services,

50

26.3

14 20.1

23.7 28.2

30.1 27.8 28.5

32.1 32.6

30.2 32

34.8 37.4 39.6 40.3 41.2

44.6

2003 2004 2005 2006 2007 2008 2009 2010 2011

45 40 35 30 25 20 15 10 5 The number of R&D researchers per 10,000 people 0

Gap between the SMA and major cities

Gap between the SMA and other regions

Figure 1: Increasing Gap in the Number of R&D Researchers between the SMA and Other Regions

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business support services, and education services. These sectors can boost job creation and regional growth. In fact, the analytic results of this study show that the research and development sector recorded an employment growth rate of 42.7%, more than four times higher than the rate of 9.3% for manufacturing.

Second, the extremely polarized job market between knowledge-based industries of the SMA and manufacturing industries of other regions should be addressed. More than 75% of job seekers wanted to have a job in the SMA and, from 2003 to 2011, the number of R&D researchers in the metropolitan area was more than double that in other regions.

However, still job creation in other regions is heavily dependent on manufacturing industries rather than R&D and knowledge- based industries, which are more sustainable for job creation. It is, therefore, highly suggested that major cities in local provinces focus on attracting more knowledge- based industries with high employment absorption rates.

Third, the creative economy can be realized with an endogenous growth model. The regions are now suffering from a triple handicap−the outflow of creative labor, decrease in manufacturing employment, and the lack of new business start- ups. For a competitive manufacturing sector, it is essential for the regions to attract creative resources such as R&D researchers and business start-ups. Aggressive government support to retain such creative resources in the regions is critical.

Fourth, the role of industrial complexes in job creation and local economic development should be reassessed, since they still provide significant job opportunities for the regions. It is also time to prepare for an increase in non-manufacturing businesses in industrial complexes and to establish detailed action plans for industrial complexes to attract R&D as well as service industries so that a genuine paradigm shift takes place, making possible an endogenous creative economy.

To attract more creative and highly-skilled people, old deteriorated industrial complexes need to be regenerated, and an increase in academic-

industry partnerships and deregulation of business incubation services are required. As suggested in the 3rd Trade and Investment Promotion Meeting at the president's office, it might be a good start to designate urban high-tech industrial complexes along with regenerating old industrial complexes.

Fifth, the RSIPP should be redesigned as an effective job creation policy measure. As shown in the research, some strategic industries, which are supported by the RSIPP, reported a decrease in employment because they only focused on cutting-edge technologies development that cannot be maintained in the regions without an endogenous growth system. The RSIPP should be redesigned to not only attract creative human resources, but also accommodate them in the regions for sustainable and endogenous growth.

Cases in which companies moved to the metropolitan area after they developed a new technology are often reported. It is necessary to target and manage strategic industries and businesses which could be competitive in a region, and retain creative and highly-knowledgeable people in the region for sustainable and endogenous regional job creation and growth.

Kang Ho-je ([email protected]) Endogenous

Growth System Knowledge

Technologyand

Leadership

Entrepreneurship Business Start-up

Venture Creative &

Talented People

Figure 2 : Endogenous Growth System for Sustainable Job Creation

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Integration of spatial planning and environmental planning

In Korea, the discussion on the linking and integration of spatial/urban planning and environmental planning started in the late 1990s, and the subject has become a major government agenda item since the 2000s. The current administration also adopted "national land development in harmony with the environment" as one of its main policy tasks. However, despite the spatial/urban planning laws and environmental planning laws declaring the link between the two areas, there is no specific and binding means to turn the idea into practice.

The connection and integration of the two areas needs to be pursued in all stages of planning, which include initial investigation, policy design, evaluation, and development.

In initial investigation, there arise some fundamental issues because the investigation categories and map scales of the two areas are different and the basic data required for each planning activity are also different. Another issue is that ecological network that could be utilized for both spatial planning and environmental planning has not been properly developed.

In the policy design stage, development axes have priority over preservation axes because spatial planning focuses on economic efficiency.

Therefore, in spatial planning, the environmental damage that may result from development is not taken seriously. Environmental plans that should compensate for this problem have mostly focused on the management of preservation areas and environmental mediums (air, water, waste, soil, etc.), and failed to adequately complement spatial planning. This is related to the initial investigation stage. Because environmental maps that identify

the ecological value of semi-natural areas (agricultural and forest areas) have not yet been created, when development projects such as urban infrastructure construction are implemented, the issue of alienation of ecologically valuable areas is not handled properly.

In the evaluation stage, there is a limit to the environmental-friendliness of spatial planning because an evaluation of policies is conducted not in the initial stage of planning but before the confirmation of planning. The environmental impact assessment has its limits in handling the issues of environmental destruction and disharmonious landscape resulting from development. Also, it cannot suspend a project as it is conducted after the project is already decided to be implemented.

Application of national ecological network for linking and integrating the plans

If spatial planning and environmental planning are conducted after national ecological networks are established, the two kinds of planning can be connected more closely. So far, South Korea has not had any step-by-step plans for developing a national ecological network. Also, the spatial hierarchy for management, and personnel in charge of spatial management has not been clearly defined. To resolve this issue, it is necessary to define the geographical scope of each national ecological network focusing on specific target areas, through cooperation between the Ministry of Land, Infrastructure and Transport (MOLIT), the Ministry of Environment (MOE), the Korea Forest Service (KFS), and local governments.

First of all, similar terms and concepts used in the national territorial legal system and the environmental legal system, such as green area axis, preservation axis, ecological network,

Introduction of Ecological Network for Spatial Plans

Aiming to Balance Development and the Environment in Korea

Park Jong-soon, Associate Research Fellow

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and ecological preservation axis should be standardized to prevent confusion among the ministries and establish a consistent direction for management.

The initial management scope of a national ecological network should be a small area surrounding the network. This can then be expanded gradually. The central government may focus its efforts on managing the nation's major mountain ranges, and local governments can manage their surrounding areas. For example, relevant ministries including the MOLIT, the MOE, and the KFS should designate preservation and restoration zones around mountain ranges in pilot project areas. Local governments need to set and manage flexible boundaries around the zones considering the local conditions.

Once the basic elements are defined,

national ecological networks can be applied to making spatial and environmental plans. If a national ecological network passes through a city that is being analyzed for possible future development, the network can be included as a variable in the analysis. If a national ecological network passes outside the city, green area axes in the city that are connected to the national ecological network can also be considered as variables.

Furthermore, it would be possible to put more weight on ecological networks or preservation axes than on development axes or transportation axes when defining the spatial structure of an area. To this end, of course, environmental plans should be able to support spatial plans by defining the practical scope of the ecological network for spatial management, considering the direction of and pressure for development in the region.

The national ecological network can be used in the evaluation stage as well. If a national ecological network is factored into the strategic environmental impact assessment, ecological connectivity can be considered from the perspective of the site-selection process of a development project. In addition, if national ecological networks in and outside of a project area are considered in the environmental impact assessment, the negative impact of the development project on ecological connectivity can be identified in advance and reduced. If damage to a

national ecological network is inevitable as a result of development, restoration measures need to be prepared.

In conclusion, to reduce the conflicts between spatial planning and environmental planning, the spatial and attribute data used for the two kinds of planning should be identical. However, differences between the two are still found in the planning and evaluation stages because government departments use different investigation categories and map scales. If national ecological networks are considered in selecting candidate areas for development or green area axes, spatial planning could be conducted in harmony with the environment. In addition to national ecological networks, if various kinds of spatial and attribute information are shared among government departments and used in planning and evaluation, and if environmental preservation plans are made to complement development plans, it would be possible to achieve the goal of sustainable spatial development.

Park Jong-soon ([email protected])

National ecological network surrounding a mountain range

External expansion

Development area Development area Buffer zone

Buffer zone

Buffer zone Buffer zone

Figure 1: Step-by-step Approach for Developing a National Ecological Network

Step 1

Step 2

Step 3

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The Center for the Korean Peninsula and Northeast Asian Studies of the Korea Research Institute for Human Settlements (KRIHS) was established to identify policy tasks and strengthen international cooperation networks in preparation for the era of unification and Northeast Asian cooperation. In particular, the center focuses its efforts on developing strategies and policies on spatial development on the Korean Peninsula with unification in mind, and presenting policies on trans-border regional development for the co-prosperity of Northeast Asia.

From 1990 to 2013, the center conducted 108 studies in seven areas. The studies dealt with various topics regarding unification and North Korean development. Specific study areas are as follows:

• Plans and development strategies for the unification era of the Korean Peninsula (future development landscape of the Korean Peninsula and population movement);

• Establishment of a national land information system in North Korea;

• Special economic zone and regional development plans for North Korea;

• Infrastructure development in North Korea;

• Land, housing, and urban development in North Korea;

• Trans-border regional development in Northeast Asia; and

• The experiences of Germany and former socialist countries.

In addition, the center has continued research cooperation with major research institutes in the world including the Federal Institute for Research on Building, Urban Affairs and Spatial Development of Germany (BBSR), Eastern Liaoning University of China, the National Institute for Research

Advancement of Japan, and the Far Eastern Federal University of Russia.

In particular, together with the BBSR, the center conducted a joint study on the development of land and cities in Germany, and visiting researcher programs have been conducted to enhance personnel exchange. Joint studies with Dr.

Wendelin Strubelt and Dr. Karl-Peter Schoen dealt with the outcomes and challenges of the regional and urban development policies of the unified Germany. The researchers sought to find the studies' implications for Korea, and the results were even included in the policy proposals for the South Korean government. Also, the center and the German institute have co-hosted international seminars with experts on Central and Eastern European countries including Poland and the Czech Republic, sharing knowledge on regional development experiences of former socialist states.

Japanese experts on Northeast Asia and North Korea have also been cooperating with the center. So far, joint workshop and joint research have been conducted, and issues such as the role of the Korean Peninsula in Northeast Asian cooperation, Japan's role in the development of North Korea, and cooperation between Korea and Japan have been discussed.

The center also has been conducting joint research with experts on the Russian Far East development through the Korea-Russia forum, which helps to shape the Eurasia Initiative being actively promoted by the South Korean government.

The Center for the Korean Peninsula and Northeast Asian Studies consists of Director Dr. Lee Sang-jun (senior research fellow), four research fellows, and two assistant research fellows. The center is nurturing more specialists in each field in order to strengthen research capability and plans to focus its efforts on conducting research and

Center for the Korean Peninsula and Northeast Asian Studies

Lee Sang-jun, Director of the Center for the Korean Peninsula and Northeast Asian Studies

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strengthening cooperation networks in the following areas.

• Study on a comprehensive plan for a unified Korean Peninsula: establish the direction and strategy for spatial development of a unified Korea and strengthen research capability;

• Study on urban regeneration strategies for North Korea: develop strategies to improve the North's underdeveloped cities, housing, and infrastructure for living;

• Study on strategies to restructure ownership of land and housing in North Korea: develop strategies on how to restructure the ownership of land and housing in North Korea;

• Study on territorial environment improvement and disaster prevention in North Korea: develop comprehensive strategies for protecting and managing land resources in North Korea;

• Study on infrastructure network establishment between the Korean Peninsula and Northeast Asia: develop strategies to establish an international transportation network including the Asian Highway and the transcontinental railway;

• Study on strategies to nurture North Korean construction industry: develop strategies on how to strengthen the North Korean construction industry in preparation for territorial development in North Korea;

• Study on the integration of urban and land systems of North Korea and South Korea:

develop strategies and step-by-step plans for integrating urban and land systems of the North and the South;

• Study on connecting industrial infrastructures in Northeast Asia: from the perspective of integrated development of Northeast Asia and the Korean Peninsula, conduct studies on how to prepare for a future economic integration of Northeast Asia, including a study on the creation of an industrial map for Northeast Asia;

• Study on the development of an integrated national land information system of North Korea: conduct studies for establishing a system that can serve as a hub of North Korean land information.

The Center for the Korean Peninsula and Northeast Asian Studies has been hosting the Korea Forum regularly to strengthen the domestic and overseas research network, and has been participating in many international collaborative research projects.

Furthermore, the center plans to identify and conduct specific research tasks in order to realize the government's comprehensive plans, such as the Eurasia Initiative and Preparation for a Unified Korea. Also, the center will continue to make efforts to strengthen practical cooperation with research institutes at home and abroad, which will include conducting international forums and joint studies.

The center's planned research tasks include developing practical strategies for the Vision Korea Project of the Trust-building Process on the Korean Peninsula and plans for building the DMZ World Peace Park, and research on the development of the Russian Far East through South Korea-Russia cooperation.

Lee Sang-jun ([email protected]) The Korea Forum

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KRIHS and University of Tokyo Held a Joint Seminar on Spatial Analysis

On December 10, 2013, the Center for National Territorial Policy Simulation of KRIHS held a Korea-Japan Seminar on Spatial Analysis at the University of Tokyo. The seminar was intended to exchange information on the latest methodologies of spatial information analysis and strengthen the global research network. At the seminar, researchers from the Center for National Territorial Policy Simulation, and the Center for Spatial Information Science (CSIS) and Institute of Industrial Science (IIS) at the University of Tokyo shared their research issues and exchanged their opinions on methodologies.

Dr. Kim Dae-jong, under the title “Land Use Change Prediction Using Spatiotemporal Pattern Analysis of Land Transaction Data,” made a presentation on the development and application results of an algorithm that adds a time factor to the existing spatial pattern analysis in order to predict changes in land use. Prof. Ryosuke Shibasaki presented the results of his analysis on individual behavior patterns using navigation GPS information. His presentation was followed by Dr. Apichon Sitayangkurn’s presentation on

“Human Activity Analysis on Large Scale GPS Data of Mobile Phone Using Cloud Computing Platform.” Dr. Wataru Ohira made a presentation on “Optimal Mangrove Formation Based on Tsunami Inundation Simulation with a Stilt Root Morphological Model.” The next speaker, Dr. Im Eun-sun made a presentation on “Development for a National Territorial Monitoring Indicator

Using Micro Geo-Data,” and Yuki Akiyama on

“City Analysis Using Micro Geo-data at the National Scale.” Dr. Kim Mi-jeong presented on

“Flood Disaster Monitoring System Based on Big Data,” and Ms. Sung Hye-jung’s topic was

“Scientific Decision Making Based on Open Source: Focused on KOPSS (Korea Planning Support System).”

All participants presented their research topics, explained the context of their research, and shared their opinions on common issues. In addition, they agreed on the need for further identification of joint research areas and continued research cooperation.

Visit from Mongolian ALAGaC’s Geospatial Information Delegation

On December 4, 2013, the Geospatial Information Research Division of KRIHS held a Technician’s Invitation Program event for the 2nd Topographic Maps Production Project for the Ulaanbaatar City in Mongolia. This project is being implemented by the Korea International Cooperation Agency (KOICA). Dr. Kim Kirl of KRIHS, twelve Mongolian working-level officials and the head of the ALAGaC, N. Adilbish, together with Vice President Kang Moon-seon of Samboo Engineering participated in the event.

Dr. Kim explained the role of KRIHS and the organization's sub-groups in detail to the ALAGaC's geospatial information delegation. He also made a presentation on Korea's master plan on National Spatial Data Information (NSDI), Korea Land Information System (KLIS), and Korea Planning

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Support System (KOPSS). In particular, he helped the Mongolian government officials to understand Korea’s geospatial information policy by explaining the background, vision, goal, cases and implementation system of the NSDI master plan. The mutual understanding of the current state of geospatial information in Korea and Mongolia was improved through the discussion session, and continued cooperation on geospatial information policy between the two countries was promised. Dr. Kim said that he wanted more Mongolian officials to join the KRIHS training program, where the participants can learn Korea’s advanced geospatial information technologies. The program is being provided by the Global Development Partnership Center.

KRIHS and University of Tsukuba Held a Meeting on International Academic Research Cooperation

A delegation from the University of Tsukuba, Japan visited KRIHS on February 28 as a follow-up activity of the MOU on international academic research exchange. The University of Tsukuba and KRIHS have maintained a cooperative relationship under the MOU, which took effect in 1987 and will continue until 2017.

At the meeting, new representatives from both sides were introduced to each other, and talked about the renewal of the MOU. In particular, the participants from the University of Tsukuba emphasized that a broader academic exchange between the two parties would be possible as its urban planning department changed into the System Information Department, which encompasses other majors such as economics and business administration. Professor Tsutomu SUZUKI and Professor Tomokazu ARITA at the

Graduate School of Systems and Information Engineering at the University of Tsukuba, and Dr.

Lee Dong-woo and Dr. Kim Jin-beum of the National Territorial Planning & Research Division, and Dr. Cho Chun-man of the Global Development Partnership Center of KRIHS participated in the meeting.

The participants from the University of Tsukuba said that they hoped the upcoming academic exchange program in May between the National Institute for Land and Infrastructure Management, KRIHS, and the University of Tsukuba would serve as an opportunity to identify a more practical cooperation agenda and expand exchanges among the parties.

2014 Capacity Building Program for Nepal Lumbini Project

The Global Development Partnership Center (GDPC) of KRIHS conducted the 2014 Capacity Building Program for the Nepal Lumbini Project for two weeks from March 11 to 24. The program is part of the project agreed between the GDPC (Director Moon Jeong-ho) and Korea International Cooperation Agency (KOICA). It includes studying cases on systems and policies related to historic site preservation, the Cultural Heritage Protection Act, and land use systems in Korea, as well as a field visit. Assistant Secretary Bharat Raj RAWAT of the Ministry of Culture, Tourism & Civil Aviation and six other working-level government officials from Nepal, three participants from the Lumbini Development Trust, and a UNESCO consultant participated in the program.

At the opening ceremony on March 12, President Kim Kyung-hwan of KRIHS expressed the hope that the program will serve as the foundation for sharing knowledge on the management of museums

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and historic sites and the establishment of relevant organizations.

Lectures were given on Korea's land infrastructure development and cultural heritage preservation.

“Transport and Infrastructure Development Policy in Korea” by Dr. Lee Sang-keon, “Regional Development Policy in Korea” by Dr. Moon Jeong- ho, and “Sustainable Management of Cultural Heritage & Ancient Capital Cities in Korea” by Dr.

Chae Mie-oak were offered.

The participants visited companies related to the Lumbini project or cultural heritage management, such as Environmental Group and Sigong Tech, and Korea’s cultural heritage sites including Gyeongju, Yeongju and Pohang, with the aim of improving their understanding of the policies and practices of Korea’s cultural heritage preservation.

Workshop for a Field Investigation Team from Selangor, Malaysia

As part of the Korea-Malaysia Workshop Program for Sharing of Housing Policy and Development Experiences, four high-ranking officials from Selangor, Malaysia visited KRIHS on March 4.

They visited Korea to conduct a survey on the current state and latest issues of Korea’s housing policy and share the Selangor State Structural Plan 2020 and current housing policies and plans of Malaysia.

Dr. Park Mi-seon of the Housing and Land Research Division of KRIHS made a presentation on “Korea's Housing Policy and Development Status” and the visiting group showed their deep interest in the implementation process and results of public housing policy in Korea, and also

"Jeonse," a housing lease unique to South Korea.

Dr. Cho Chun-man of the Global Development Partnership Center introduced KRIHS and made a

presentation on “Korea's Smart City Policy and Outcomes." Following the presentation, the investigation group visited the integrated control center of Anyang U-City, a successful case of smart city operation, to take a look at how the integrated management system improves the traffic and safety of the city.

The field investigation group said that they were deeply impressed by the remarkable economic growth of Korea and KRHIS' contribution to the nation's balanced land development and housing policy. Also, the group expressed its willingness to further enhance international cooperation with KRIHS.

KRIHS Signed a MOU with IUR at Wharton School, University of Pennsylvania

KRIHS signed a MOU with IUR (Institute for Urban Research) at the Wharton School, University of Pennsylvania on January 6, 2014.

Kim Kyung-hwan, president of KRIHS, Susan M.

Wachter, director of IUR, and other members from both institutes were at the signing ceremony.

The substance of the MOU is as follows: (1) Joint research and publication for establishing innovative urban development strategies and nurturing global research bases, (2) Sharing and exchange of experiences and knowledge on areas of mutual interest, and (3) exchanges of researchers and collaborative research. KRIHS expects that signing MOUs with leading global research institutions such as IUR will improve its research capability and lead to more joint international projects.

After the ceremony, President Kim had a meeting with Thomas S. Robertson, dean of the Wharton School, and discussed the future cooperation of the two institutions.

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The 4th Korea Forum in 2013

Development Projects and Strategies for New Inter- Korean Cooperation

On December 18, 2013, the Center for the Korean Peninsula and Northeast Asian Studies of KRIHS held the 4th Korea Forum in 2013. The Korea Forum has contributed to identifying the latest trends and increasing the quantity and quality of knowledge shared among experts on Korea and Northeast Asia. At the Forum, Dr. Lee Sang-jun, the director of the center, made a presentation titled “Strategies of Major Projects for New Inter- Korean Cooperation,” and discussion among experts followed.

Dr. Lee presented cooperative development projects for the Korean Peninsula, considering both the big picture issues−the link between Northeast Asia and Korea and economic integration of North Korea and South Korea, and the details including the key tasks in each field and the AHP (Analytic Hierarchy Process) analysis.

The cooperative projects consist of two core bridging projects and nine core base projects. The economic effects of the core projects were analyzed in terms of construction and operation, on the assumption that the projects will continue for ten years.

With regard to the tasks to be implemented for the core cooperative development projects, the following were suggested: a) establishment of step-by-step implementation roadmaps and practical programs, b) establishment of domestic support systems for the projects, and c) gradual

enhancement of inter-Korean cooperation.

Global Development Partnership Forum The 28th Forum: ODA Projects and Sustainable Development

The Global Development Partnership Center (GDPC) of KRIHS held the 28th Global Development Partnership Forum (GDP Forum) on February 5 at the Intercontinental Seoul COEX. A total of 38 people participated in the forum, including Department Head Yeo Cheol-ki of the Korea Land & Housing Corporation and Advisor Park Kwan-sik of the Korea Trade-Investment Promotion Agency (KOTRA).

Director Roh Tae-ho of the Global Strategy Center of the Korea Environment Institute and Director Moon Jeong-ho of the GDPC made a presentation. Director Moon presented the business results of 2013 and the operation strategy for 2014, and emphasized the importance of strengthening the network through the GDP Forum.

Director Roh Tae-ho gave a presentation on “the Current State and Tasks of Global Partnership Projects for Sustainable Development.” He explained the latest issues on sustainable development and the current state of global partnership programs related to official development assistance (ODA). In particular, he presented positive prospects for programs related to water and sewage treatment facilities as well as drinking water projects. He said that, in order to achieve sustainable development, Korea needed to define its role as a middle-power country, and work towards a more enhanced cooperation network among the government, research institutes, and private

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companies.

During the Q&A session, how to strengthen sustainability of ODA programs and how to cooperate with local research institutes were discussed. The participants agreed on the importance of eco-friendly infrastructure projects and evaluation of the sustainability of programs that support green growth in developing nations.

The 29th Forum: Support for Successful Overseas Bidding and Korea-Indonesia Technical Cooperation The 29th GDP Forum was held by the GDPC on March 5 at the Intercontinental Seoul COEX.

Project Management Team Lead Jeong Hyung-sik of KOTRA and Pyo Yong-chul, head of the planning department of the Korea Agency for Saemangeum Development and Investment participated as presenters.

The first speaker, Jeong Hyung-sik, made a presentation on the introduction to KOTRA’s program that helps domestic businesses to win overseas contracts and its success stories. He briefly introduced KOTRA and its Industry & Resource Cooperation

Department, and explained KOTRA's platform for successful overseas bidding. He said that KOTRA's council for winning overseas contracts, which consists of 2,501 members from 683 companies, was intended to establish the domestic network, and KOTRA's overseas head offices and support center for overseas plant project bidding aimed to establish the overseas network. He also gave some successful examples of such efforts.

Pyo Yong-chul presented examples of Korea- Indonesia technical cooperation related to the National Capital Integrated Coastal Development (NCICD). He provided background on the natural environment of Indonesia and explained the need for the NCICD project and its implementation methods. Also, he suggested how to improve the NCICD project by comparing it to the Saemangeum project. At the end of the presentation, he summarized the strategies for advancing technical cooperation between Korea and Indonesia into the following steps: 1) a master plan review, 2) collection and investigation of base data, 3) launch of a pilot project, and 4) technical cooperation and exchange.

The Korea Research Institute for Human Settlements (KRIHS) was established in 1978 in order to contribute to the balanced development of national territory and the improvement of the quality of life of people by conducting comprehensive policy-oriented research in the efficient use, development, and conservation of territorial resources.

Since its inception, KRIHS has been committed to fulfilling its mission of the creation of a beautiful territory and pleasant living environment. In order to achieve this mission, KRIHS has carried out various studies on sustainable territorial development, balancing development and conservation, and the provision of housing and infrastructure.

Copyright c March 2014

Korea Research Institute for Human Settlements

254 Simin-daero Dongan-gu Anyang-si Gyeonggi-do, 431-712, Korea TEL: 82-31-380-0599 FAX: 82-31-380-0480

E-Mail: [email protected] Homepage: www.krihs.re.kr Publisher: Kim Kyung-hwan Editor: Moon Jeong-ho

Editorial Committee: Han Woo-suk, Jung Hee-nam, Kang Ho-je, Kim Eun-jung, Kim Jong-hak, Lee Jae-yong, Nam Ki-chan, Park Kyung-hyun, Park Soon-up, Wang Kwang-ik

Editorial Assistant: Park Ji-woo

KRIHS GAZETTE March, Vol. 58

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