Kaesong Industrial Region

The Kaesong Industrial Region is a jointly operated industrial zone located north of South Korea, near the North Korean border. Established in 2004, it was a collaborative effort between the two Koreas to promote economic activity and cooperation. South Korean companies set up factories there, taking advantage of lower labor costs, while North Korea supplied cheap labor and raw materials. The zone aimed to boost North Korea's economy and improve inter-Korean relations. However, it faced closures and restrictions due to political tensions, reflecting broader issues between the two countries.