How the Busan Global Hub City Special Law Will Transform South Korea’s Maritime Economy

On March 24, the National Assembly’s Public Administration and Security Committee approved the Busan Global Hub City Special Act, a measure intended to develop Busan into a global maritime city. 

The subcommittee voted to advance the special law, which calls for establishing designated international logistics and international finance zones in Busan and offers tax incentives and regulatory exemptions to position the city as a global logistics and financial hub. The bill was introduced in May 2024 by Rep. Jeon Jae-soo (Democratic Party) and Rep. Lee Heon-seung (People Power Party) and had been pending in the committee for nearly two years. 

Lee Seong-gwon (Busan Saha-gap), a committee member, told reporters immediately after the vote that the bill passed because a quorum was present. He added that Rep. Lee Hae-sik of the Democratic Party requested a post-election review, so their opposition was recorded in the minutes. 

On March 23, Busan Mayor Park Hyung-joon publicly shaved his head to press for swift passage of the special law. Rep. Jeon also met that morning with party floor leader Han Byung-do to urge approval. Observers say Park and Jeon intensified their efforts to secure public support in Busan as they positioned themselves for the June 3 local elections.   

Meanwhile, the subcommittee approved an amendment to designate May 1 as a legal public holiday for Labor Day. If the amendment clears the full committee, the National Assembly plenary and receives Cabinet approval, Labor Day could become a legal public holiday for workers as soon as this year.