The purpose of this study is to explain the mechanism of soft power production in South Korea based on creative economy development policies. Although soft power literature emphasizes the role of culture above all else, recent evidence has highlighted the role of creative economy development policies on soft power production. Therefore, the present study seeks to answer the question of what mechanism has led to the production of soft power in South Korea through creative economy development policies. To answer this question, the process tracing method and analysis of documents, official reports, and scientific sources have been used to examine the process of formation and implementation of creative economy policies and their consequences on the country's soft power. The research findings show that creative economy development policies have provided the basis for increasing cultural attractiveness and enhancing South Korea's international image by creating institutional support, investing in cultural and creative industries, strengthening innovation, developing international markets, and transforming cultural products into symbols of national identity. This process has caused the country's cultural products, in addition to playing an economic role, to become tools for increasing international influence, legitimacy, and impact. As a result, the present study shows that South Korea's success in producing soft power is the result of the link between public policy, the creative economy, and the targeted development of cultural industries, rather than being due to mere cultural capacities.