Daegu Takes the Lead in Building a Personal Mobility (PM) Industry Ecosystem

From electric two-wheelers to battery swapping systems, Daegu accelerates the creation of a next-generation mobility hub

The city of Daegu is fast-tracking its efforts to nurture the Personal Mobility (PM) industry, positioning itself as a central player in the future of urban transportation. PMs, including electric scooters and bikes, are rapidly gaining popularity among younger generations thanks to their ease of use and convenience for short-distance travel. According to Grand View Research, the global PM market is expected to grow at an average annual rate of 5.8% through 2028. In Korea, the growth is even faster, with the Korea Transport Institute projecting an annual increase of over 20%.

A Public-Private Cooperation Model for Industrial Development

Recognizing these market trends, Daegu has been actively building a local PM industry ecosystem. During the Daegu International Future Auto Expo (DIFA) held last year, the city signed a series of cooperation agreements with key players in the field, including mid-sized and small enterprises such as Sambo Motors, Goa Precision, and E3 Mobility. The collaboration also includes major corporations such as Hyundai Kefico and LG Energy Solution, while the Daegu Mechatronics & Materials Institute supports R&D and performance verification.

E3 Mobility is playing a pivotal role in the sector, especially in the development and deployment of electric motorcycles and battery swapping systems.

Expansion of PM Demonstration Projects and Support Infrastructure

Since January, Daegu has launched a full-scale PM demonstration project, initially deploying 100 units equipped with domestically-produced components. Based on the results, the city plans to expand the project to 1,000 units in the second half of the year. In addition to electric two-wheelers, the project encompasses battery-swapping infrastructure and IT-based fleet management systems, aiming for a comprehensive validation of both hardware and software.

To further enhance development capabilities, the city will establish a “Powertrain Component Demonstration Support Center” within the Daegu Mechatronics & Materials Institute by the end of the year. The center will specialize in prototype testing and reliability verification based on real-world performance data.

Local Manufacturing and Global Market Strategy

Backed by robust demonstration data and growing investor interest, companies are beginning to scale up. Daedong Mobility is developing new e-bike models and plans to build a production facility in the Daegu National Industrial Complex. Additionally, the city is preparing for international expansion, beginning with Malaysia, where local partnerships will be finalized and formal agreements signed by July.

A Daegu city official stated, “The transition to future mobility and the rise of ESG management present both challenges and opportunities. The development of a PM co-growth model will serve as a turning point for regional companies to gain a foothold in both domestic and global markets.”