Incheon Port's Fiscal Investment Falls 65% in Four Years, Weakening Competitiveness... Busan Port Surges 83%

Incheon Port Drops from 3rd to 8th in Government Fiscal Investment Rankings
Jung Ilyoung: "Instead of Port Authority Integration, Fiscal Investment in Incheon Port Must Be Expanded"

Concerns are mounting that Incheon Port's role and competitiveness will be further weakened if the government proceeds with integrating all national port authorities, especially given the sharp decline in government investment in Incheon Port—a logistics hub for the greater Seoul area—over the past four years.

According to data from the Ministry of Oceans and Fisheries obtained by Democratic Party lawmaker Jeong Ilyoung (Incheon Yeonsu-eul) on July 14, government fiscal investment in Incheon Port last year amounted to 61.4 billion won, a 65.4% decrease compared to 177.2 billion won in 2021.

During the same period, fiscal investment in Busan Port surged dramatically, increasing by 210.2 billion won (83.6%) from 251.4 billion won to 461.6 billion won. Notably, both Incheon Port and Busan Port saw growth in vehicle and automotive parts cargo volumes, rising by 1,135,000 tons and 2,679,000 tons respectively. Despite this, the trend of government investment showed a significant discrepancy between the two ports.

Government fiscal investment in Gwangyang Port and Saemangeum New Port also rose in contrast to Incheon Port, increasing by 91.1 billion won (149.9%) and 63.8 billion won (85.7%) respectively compared to 2021.

Incheon Port Container Terminal. Provided by Incheon Port Authority

This investment gap is clearly reflected in the national ranking as well. While Incheon Port was ranked third in government port fiscal investment in 2021, it dropped by five places to eighth last year. Conversely, Busan Port maintained the number one spot in government investment every year except one since 2021.

The gap in government investment between Incheon Port and Busan Port also widened further. The difference, which stood at 74.2 billion won in 2021, surged to 400.2 billion won last year.

Lawmaker Jeong noted that if nationwide port authorities are merged while such investment imbalances persist, Incheon Port’s competitiveness will inevitably be further eroded. He stated that if such legislation is submitted, he would respond at the National Assembly level.

The government is currently reported to be pursuing the integration of the four port authorities—Busan, Incheon, Ulsan, and Yeosu Gwangyang—through the 'Public Institution Function Restructuring Task Force,' with the aim of establishing a tentative entity called 'Korea Port Authority.'

Jeong emphasized, “Incheon Port is a key national port responsible for import-export freight for the capital area and logistics with China. Over the past five years, the government has increased investment in Busan Port by 84% while reducing investment in Incheon Port by over 65%. Under these circumstances, integrating the port authorities would only further weaken Incheon Port’s competitiveness.”

He added, “Port authorities were established to pursue policies tailored to regional industries and the unique characteristics of each port. The government should focus on expanding Incheon Port’s infrastructure and increasing fiscal investment, rather than integrating the port authorities.”

This content was produced with the assistance of AI translation services.