The Kaesong Industrial Complex in North Korea and Implications for the Two Koreas' Economic Cooperation

South Korea and North Korea (NK) created the Kaesong Industrial Complex (KIC; 2005–2016) as a symbol of peace. Yet, NK often took strong measures suggesting its closure. Had the economic benefits been negligible, NK's actions might have been related to dissatisfaction with the KIC's economic performance. However, per the examination based on the global production networks perspective, the KIC produced significant economic effects. Thus, NK's desire for regime preservation overwhelmed its economic interests. Thus, for South Korea's intentions to be achieved and for NK to benefit economically through inter‐Korean economic cooperation, political change in NK must come first.