Poising for the Next Leap Ahead:
Korea's Space Economy and Middle Power Strategy
Darcie Draudt-Véjares
Korean Studies Fellow, Carnegie Endowment for International Peace

Could you begin by introducing yourself and your role at the Carnegie Endowment for International Peace?

I am currently a Korean studies fellow at the Carnegie Endowment for International Peace. While I am based in the Washington D.C. office, Carnegie is a global research organization with centers in Silicon Valley, India, Brussels, Berlin, and other regions around the world. One of the great advantages of working here is the opportunity to collaborate with colleagues from diverse regions. Within this global network, I focus on research related to Korea’s industrial policy, foreign policy strategies, and the social implications of emerging technologies.

From your view as both an external observer and a researcher, what is a unique driving element of the Korean economy and society?

During my time living and conducting research in Korea, I was drawn to two characteristics. The first is diligence. Korea’s remarkable economic growth following the Korean War earned the country global acclaim. The work ethic developed during that time remains deeply embedded in Korean society today.
The second is creativity. Whether in high-tech industries, gaming, K-Pop, or the broader Korean Wave, creativity lies at the core of Korea’s global success. This includes not only artistic creativity but also problem-solving, code writing, business model development, and more. I believe diligence and creativity are two defining traits of Korea’s economic development.

There is growing interest in the “New Space Economy” following Korea’s recent successful space launches. In your recently published paper, how do you assess Korea’s space strategy?

I am not a scientist or astronaut. Rather, I am a political scientist specializing in industrial policy, and it was fascinating to analyze the “New Space Economy” through the lens of Korea’s industrial strategy. Outer space today is comparable to a crowded real estate market. Countries such as the United States, Russia, China, Japan, India, and the European Space Agency already possess satellites, launch vehicles, and supporting infrastructure. Korea is still a latecomer in this field.
Even so, Korea is in a favorable position for two reasons. First, the country’s industrial policy has a long-established history of close government- industry cooperation, which facilitates navigating the complex challenges of the space industry. Second, Korea already possesses key industrial capabilities essential to the space sector, including advanced materials, precision components, and semiconductors. Korea is also home to a robust R&D ecosystem centered around institutions like KAIST, KARI. These conditions form a solid foundation for Korea’s emergence as a leading space power going forward.

What are Korea’s strengths and weaknesses in the global space industry?

To begin with the weaknesses, Korea is most pressed for time. Countries like the United States, Russia, and China have operated space programs for decades. For Korea to catch up and reach the same orbit, so to speak, the country’s space program must grow at a very rapid pace. Moreover, private giants like SpaceX and Blue Origin already occupy a significant portion of that “space real estate.”
On the other hand, Korea’s strength lies in its holistic approach. Korea’s space agenda goes beyond individual projects and it is one of the few countries which are advancing both upstream and downstream space sector domains. Korean manufacturing base, policy experience, and its cultural emphasis on rapid progress encourages space industry growth on the ecosystem-level. This is Korea’s unique strength that can offset the disadvantages of being a latecomer.

Your paper emphasizes “partnership” and a “middle-power strategy.” At the intersection of space and geopolitics, what role can South Korea play?

The space economy is, in many ways, an inherently global market. Space does not belong to any one country, and this necessarily engages new entrants to the space field like South Korea in international competition and cooperation from the very beginning. That is why it would be unrealistic for Korea to pursue everything on its own. A more effective approach is to design thoughtful and well-matched partnerships. The ROK-U.S. alliance may serve as a key foundation for such cooperation, as space technologies often have dual-use applications across commercial, scientific, and military domains—offering significant advantages as high-trust security partners. At the same time, Korea can also be a complementary partner to European countries, India, Japan that operate medium-scale space programs. As a middle power, Korea is well-positioned to connect players across regions. I believe Korea has the potential to act as both a bridge and a hub in this expanding network.