This paper is concerned with an analysis of economic impacts of development of highway and railroad in North Korea on manufacturing productions of South and North Korea, using production functions with spatial accessibilities. This paper finds that the investments on the transportation network of Western areas of North Korea generated larger effects on the outputs of the manufacturing sectors than those of Eastern areas. In addition, the spatial linkages of road and railroad services between North and South Korea could contribute to more increases in manufacturing outputs of South Korea than the case of North Korea.