The prominent science magazine released a special edition of Nature Index focusing on South Korea's research landscape on Wednesday.
According to the report, South Korea leads major countries in both the number of researchers per capita and spending on research and development, which accounts for nearly 5 percent of its gross domestic product.
However, the country's research output relative to spending lags behind other major countries, as measured by the Nature Index Share metric.
"This disconnect aligns with the many challenges that South Korea faces, including concerns over the country’s status as an innovation powerhouse and signs that its historically close ties between industry and academia might be faltering," the report said.
The analysis identified declining student numbers due to the world's lowest birth rate as a key challenge facing South Korean science.
The report also highlighted stark gender imbalances, noting that only 23 percent of researchers in South Korea are women. This situation presents an opportunity to boost innovation potential by addressing career interruptions for female scientists, the report said.
Language barriers and cultural differences were cited as factors hindering the long-term retention of foreign researchers, undermining the nation's ability to foster a more diverse research ecosystem.
The report noted South Korean researchers' desire to expand collaborations beyond traditional partners like the U.S. and China, pointing out the need to improve domestic conditions to forge more international links.
"South Korea seems to be at an inflection point, where it either pivots and adapts or struggles to keep pace," Bec Crew, senior editor of “Nature Index, “ wrote.