Minister Kim Jung-kwan of the Ministry of Trade, Industry and Resources said he acutely felt a sense of crisis in manufacturing and decided to return to public office after witnessing an unmanned factory in China firsthand when he was president of Doosan Enerbility. Emphasizing the importance of industrywide AX (artificial intelligence transition), Kim stressed transforming manufacturing through the "M.AX alliance."
On the morning of the 25th at the National Assembly, Minister Kim delivered a keynote speech at the "Physical AI frontier powerhouse new technology breakfast forum" and recalled a visit to the Dongfang Electric factory in China during his tenure as president of Doosan Enerbility.
As the background for pursuing manufacturing AX, Minister Kim cited the sense of crisis he felt in China's industrial fields. Introducing his experience visiting the Dongfang Electric factory in China, he said, "In the past, it was a shop floor smeared with grease where workers toiled, but when I went back, it had been turned into a completely unmanned factory with not a single worker."
He went on, "In the machinery industry, implementing a so-called 'dark factory (a fully automated unmanned factory)' is not easy, yet every stage from battery inventory management to transport and product manufacturing had been automated," adding, "The shock I felt on site was immense." Recalling the situation, Minister Kim said, "After returning to the company, we went on emergency footing for a week and explored responses," and added, "In the end, we reached the conclusion that at the current level we could not survive, and that AX was the only answer, so I personally took charge as AX team leader and drove the transition."
That experience led Minister Kim to return to public office. "When I was asked to join the Cabinet, I wrestled with why I needed to serve again," Kim said. "I felt that through AX I could contribute not only to the company but to the entire nation." He added, "I decided to take the ministerial post with the thought that at the Ministry of Trade and Industry (MOTI) I could take on this work."
That day, Minister Kim also explained the "M.AX alliance," which the Ministry of Trade, Industry and Resources launched in September last year. "The basic concept is to maximize the AI transition of manufacturing," Kim said, adding, "The way for Korean industry to survive is to push the AI transition of manufacturing as far as possible."
Minister Kim noted, "What matters more than the name M.AX itself is the 'alliance.'" He added, "Until now, our industrial ecosystem moved around large corporations, and there was a strong perception that each grew because they did well on their own," but pointed out, "Now, that model cannot deliver manufacturing innovation."
He also emphasized, "Unless countless partner companies rise to the same level together, we cannot build overall competitiveness," adding, "A structure in which large corporations and partner companies move together is essential."
For manufacturing AX, Minister Kim also raised the need for cross-industry convergence. "Manufacturing corporations have manufacturing capabilities, but AI capabilities are separate," Kim explained. "AI corporations and manufacturing corporations must combine, and the roles of universities and research institutes are absolutely necessary." He added, "We need cooperation closer to an alliance, not the formal partnerships or simple network level of the past," and emphasized, "Corporations, academia, and research institutes must build a structure that moves together toward a single goal."
"If cooperation works properly, outcomes like physical AI can naturally emerge within it," Minister Kim said. He added, "The aim of the M.AX alliance is for large corporations, partner corporations, AI corporations, research institutes, and universities to advance together with a single goal," and said, "Our level of cooperation will determine the level of the Republic of Korea's future."