![A view of Hanwha Philly Shipyard. [Photo=Hanwha]](https://image.ajunews.com/content/image/2026/04/26/20260426135714786616.jpg)
South Korea’s manufacturing sector is accelerating a shift in how it produces goods as it faces structural pressures from a shrinking and aging workforce. In Ulsan, the shipbuilding and petrochemical industries are pursuing artificial intelligence transformation, or AX, to address different challenges, driving broader change across industrial complexes.
As of April 26, industry officials said the Ulsan Mipo National Industrial Complex is expanding AX adoption to respond to labor shortages and to reduce safety and process risks.
In shipbuilding at Ulsan Mipo, the central issue is gaps on the production floor. The share of manufacturing workers fell to a record low of 15.2% last year, and the number of people employed in the sector has declined for three straight years. With the share of workers age 55 and older rising quickly, the industry expects a major outflow of core skilled labor within the next five to 10 years. Because shipbuilding processes have long relied on veteran know-how, companies worry the shift could directly hurt productivity and widen quality variation.
In response, shipyards are increasingly adopting “autonomous manufacturing,” using process data to predict quality and automatically control equipment settings. The goal goes beyond basic automation, moving toward systems in which AI analyzes operating conditions and supports decision-making, reducing dependence on scarce labor. On-site efforts are focusing on expanding process optimization and automatic control based on equipment operating data.
Manufacturing AI solution providers are also increasing deployments. Miracom I&C said its MES-based “Nexplant MESplus” integrates manufacturing data and enables AI to analyze and make judgments on factory operations. LS TiraYutek has proposed an integrated operating model that links workers, equipment and robots through AI to raise the level of unmanned operations.
In petrochemicals, where safety is the top priority, work is underway to standardize process data and build AI-based analytics under the “AX demonstration industrial complex construction project.” Demonstrations are being pursued for 12 AI services across process, equipment and safety at an Ulsan pilot plant that concentrates refining and petrochemical operations, with the aim of expanding to companies including KPX Chemical.
A key technology is MIQube Solution’s “digital twin modeler.” It organizes plant equipment data based on the international AAS standard, allowing AI to recognize the information and recreate the factory in a virtual space. The approach can simulate process abnormalities in advance and derive optimal operating conditions.
A “safety AI agent” combining a large language model with retrieval-augmented generation, or RAG, is also set to be introduced. If a worker asks, “What are the risk factors under the current pressure conditions?” the AI would provide real-time guidance based on manuals and accident data.
The technologies are expected to shift into cloud-based software-as-a-service offerings and spread to small and midsize manufacturers. The government is also supporting broader AX adoption through measures including GPU infrastructure support and the creation of manufacturing AI centers.
* This article has been translated by AI.
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