Daegu Metropolitan City has become the first local government in South Korea to present its achievements at the Hannover Messe main forum, marking a significant milestone in the city’s push to establish itself as a global hub for smart manufacturing innovation. The announcement was made during the 2025 edition of the world’s leading industrial technology trade fair, held in Hannover, Germany, where Daegu showcased its progress in software-defined manufacturing (SDM) and digital twin technologies.
This achievement builds on Daegu’s ongoing collaboration with national research institutions, particularly the Korea Institute of Machinery and Materials (KIMM), which has been developing autonomous manufacturing systems under a government-supported initiative. In August 2025, KIMM’s autonomous manufacturing testbed, known as MANDATE-R2R Manufacturing, was officially registered in the Digital Twin Consortium’s (DTC) Testbed Program in the United States. The system, developed by a research team led by Dr. Lee Taek-min from KIMM’s Nanofusion Research Headquarters and Secondary Battery Equipment Research Laboratory, integrates digital twin technology with artificial intelligence to enable real-time monitoring, prediction, and optimization of roll-to-roll (R2R) electrode manufacturing processes for secondary batteries.
The MANDATE-R2R system operates as a multi-agent network where AI-driven agents handle distinct functions including data collection, preprocessing, modeling, control, and maintenance. By synchronizing physical equipment (physical twin) with its virtual counterpart (digital twin), the platform enables closed-loop autonomous manufacturing — a shift from traditional reliance on operator experience or fixed control parameters to dynamic, AI-coordinated decision-making. This advancement has positioned South Korea’s industrial technology on the global stage, earning recognition through formal registration in an internationally respected standards platform.
Daegu’s presentation at Hannover Messe highlighted how local government support, combined with national R&D efforts, is accelerating the adoption of next-generation manufacturing paradigms. The city emphasized its strategic investments in smart factory infrastructure, workforce training in AI-integrated production systems, and partnerships between industry, academia, and research institutes to strengthen regional competitiveness in high-value sectors such as battery manufacturing and precision engineering.
The Digital Twin Consortium, which oversees the testbed program, is an internationally recognized body comprising federal agencies, global corporations, and research institutions that drive standardization in digital twin technologies. Its endorsement of Daegu-linked innovations through KIMM’s registered testbed validates the technical maturity and reliability of the city’s approach to software-defined manufacturing.
Software-Defined Manufacturing and Its Role in Industrial Transformation
Software-defined manufacturing represents a paradigm shift where production processes are governed by software rather than hardware-centric logic. In SDM systems, manufacturing equipment behavior is dynamically configured through software updates, enabling greater flexibility, faster retooling, and improved responsiveness to changing production demands. This contrasts with traditional manufacturing, where altering production lines often requires physical reconfiguration and significant downtime.
At the core of SDM is the integration of digital twins — virtual replicas of physical assets that mirror real-time operational data — with artificial intelligence and multi-agent systems. These technologies allow manufacturers to simulate scenarios, predict equipment failures, optimize energy consumption, and adjust process parameters autonomously. For industries like secondary battery production, where precision and consistency are critical, such capabilities directly impact yield rates, product quality, and scalability.
Daegu’s focus on SDM aligns with South Korea’s broader national strategy to lead in smart manufacturing, particularly in strategic industries identified under the Korean New Deal and the Manufacturing Innovation Strategy. By promoting SDM adoption among small and medium-sized enterprises (SMEs) in the region, the city aims to reduce barriers to technological upgrading and enhance productivity across its industrial base.
Implications for Regional Economic Development
The recognition of Daegu’s manufacturing advancements at an international forum like Hannover Messe carries tangible implications for the city’s economic development strategy. By positioning itself as a pioneer in software-defined manufacturing among South Korean local governments, Daegu seeks to attract foreign direct investment, encourage technology transfer, and foster innovation ecosystems centered around intelligent production systems.
Local officials noted that the city’s participation in Hannover Messe was not merely symbolic but part of a deliberate effort to connect with global industry leaders, standards bodies, and potential collaborators. The forum provided opportunities to engage with companies specializing in industrial AI, edge computing, and industrial IoT — all enablers of scalable SDM implementations.
Daegu’s emphasis on verified, research-backed achievements — such as the DTC-registered testbed developed by KIMM — reinforces its credibility as a trustworthy partner in international industrial cooperation. This approach contrasts with promotional claims lacking technical validation, instead grounding its international outreach in demonstrable technological progress verified by respected global institutions.
Future Outlook and Next Steps
As of April 2026, Daegu Metropolitan City continues to advance its smart manufacturing agenda through ongoing projects supported by the Ministry of Trade, Industry and Energy and local innovation funds. Officials have indicated plans to expand the reach of SDM technologies beyond battery manufacturing to other sectors including automotive components, precision machinery, and electronics assembly.
The next major checkpoint in this trajectory is expected to be the city’s participation in the 2026 Hannover Messe, where Daegu aims to present updated case studies on SDM implementation in regional SMEs, along with measurable outcomes such as reduced cycle times, lower defect rates, and improved energy efficiency. No official date has been announced for the city’s next formal update on these initiatives, but progress reports are typically shared annually ahead of major industrial exhibitions.
For stakeholders interested in tracking Daegu’s industrial innovation efforts, official updates are published through the city’s website and press releases from the Daegu Metropolitan Office of Economic Affairs. The Korea Institute of Machinery and Materials provides public access to research summaries and technical reports related to the MANDATE-R2R system and related digital twin projects via its official channels.
Daegu’s journey from a regional industrial center to an internationally recognized contributor to smart manufacturing standards reflects a broader trend of cities leveraging targeted innovation policies to compete in the global economy. By anchoring its ambitions in verified technological achievements and international collaboration, the city offers a model for how local governments can drive meaningful industrial transformation without overstating capabilities or relying on unverified claims.
As the manufacturing landscape continues to evolve under the influence of AI, connectivity, and software-centric design, Daegu’s early investments in software-defined manufacturing and digital twin integration may position it not only as a follower of global trends but as an active contributor to their development.
We invite readers to share their perspectives on how cities like Daegu are shaping the future of manufacturing. What role should local governments play in advancing industrial innovation? Join the conversation in the comments below and share this article with others interested in the intersection of technology, industry, and regional development.