"This region is in the north of the country."
Translation:Ten region jest na północy kraju.
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It seems like you are under the impression that a preposition has only one meaning. According to wiktionary, 'na' has at least 9 distinct applications and 'po' has 14.
The case should also be taken into account "na + locative" never indicates a direction, only a location. The only example where "po + locative" refers to a static location is the phrase "po  stronie" = "on the  side".