"Strengthening Growth Engines through Technological Independence and Regulatory Flexibility"

Establishing a united public-private task force in response to U.S. drone executive orders

[Herald Economy - Reporter Yonghun Kim] The South Korean government is launching a full-fledged public-private cooperation system to enhance the competitiveness of the urban air mobility (UAM) and drone industries, both regarded as key future mobility sectors. The plan includes comprehensive support for the industry ecosystem through localization of core airframes and components, establishment of flexible regulatory frameworks, and training of skilled professionals.

On the 19th, the New Growth Strategy Planning Task Force under the Ministry of Economy and Finance held a UAM and drone industry roundtable at the Korea Institute of Aviation Safety Technology. The meeting brought together representatives from relevant ministries, including the Ministry of Land, Infrastructure and Transport, the Ministry of Trade, Industry and Energy, the Ministry of National Defense, and the Korea Aerospace Administration, as well as private-sector companies. The purpose of the event was to assess South Korea’s competitiveness in future mobility and to listen to challenges faced by the industry.

UAM is gaining attention as a “game changer” that could alleviate urban traffic congestion and address environmental concerns. The global UAM market is expected to grow to $609 billion (approx. KRW 838 trillion) by 2040, with the domestic market reaching KRW 13 trillion, showing an average annual growth rate of 30%. While South Korea is a global leader in battery and ICT technologies, it still faces challenges in narrowing the gap in airframe development and autonomous flight capabilities.

Meanwhile, the drone industry is rapidly expanding its applications across agriculture, construction, logistics, and defense, with logistics and delivery in particular emerging as a key growth area. However, many domestic drone companies remain small, and the industry continues to rely heavily on foreign-made components.

The government has already been promoting major initiatives through its K-UAM Roadmap (June 2020) and Mobility Innovation Roadmap (September 2022), including large-scale pilot programs, R&D, and regulatory sandbox initiatives. For drones, support spans the entire lifecycle—from development to export—through programs like the Drone Demonstration Cities (since 2018) and the launch of the Drone Industry Alliance (May 2025).

Participants in the roundtable included Korean Air (operations), [UAM] KAI (airframes), KT (communications), Gansam Architects (infrastructure), V-Space (R&D), Verti (demonstration), [Drone] Uvify (swarm drones), VOLOLAND (components), and Meissa (application technologies).

Shin Sang-hoon, head of the task force, stated, “UAM and drones are the essence of eco-friendly technologies that will transform the future. The government will do its utmost to help Korea become a global leader in future mobility by supporting the entire value chain—from technology development and infrastructure to institutional reform and talent cultivation.”

Notably, the roundtable took place shortly after former U.S. President Donald Trump signed an executive order on drones and eVTOLs (electric vertical takeoff and landing aircraft) on the 6th, which aims to reshape the industry, reduce dependence on China, and ease regulations. The South Korean government plans to respond to these global changes by expanding domestic industrial opportunities.