Ministry of Trade, Industry and Energy

Minister Meets With Chinese Investors

Minister of Knowledge Economy Choi Joong-Kyung joined Chinese investors on March 22 to celebrate the launch of a “China Club.” With assistance from the Ministry of Knowledge Economy, this new club will help companies from both countries to share information and work together to address any obstacles to business activities. Pointing to China’s emergence as a major player in Korea’s foreign investment market, Minister Choi expressed enthusiasm about the exciting prospects for bilateral investment. Inbound FDI from China displayed an impressive year-on-year increase of 160 percent in 2010. With more Chinese businesses looking to invest in Korea, in May the Ministry of Knowledge Economy set up the “China Desk,” which is dedicated to offering potential Chinese investors up-to-date information and matching them with suitable projects. The China Desk will assist companies in building active business networks within the China Club. The China Desk currently has branches in Seoul and Shanghai; later this year the Ministry plans to set up new branches in Beijing and Guangzhou. An investment roadshow in June will address areas of special interest to Chinese investors such as renewable energy, regional development and cultural content. * Released by the Foreign Investment Promotion Division date2011-03-28

Korea, Russia Launch Business Council

Korea, Russia Launch Business Council Vice Minister for Industry and Technology Ahn Hyunho speaks at the opening ceremony for the Korea-Russia Business Council on February 21 in Seoul. The event drew nearly 100 dignitaries from both countries. date2011-03-02

Korea, Russia Open Joint Technology Center

Korea, Russia Open Joint Technology Center Minister of Knowledge Economy Choi Joong-Kyung addresses representatives of government bodies, businesses and research institutes from Korea and Russia at the opening ceremony for a joint technology center on February 24 in Seoul. date2011-03-02

Trade Figures for February

The Ministry of Knowledge Economy has released its trade figures for the month of February. The trade surplus recorded $2.85 billion, down from $2.9 billion in January. The month-on-month decline is attributable to the Lunar New Year holiday, which fell in February this year and resulted in four fewer business days. Despite unfavorable conditions in the global market, brisk outbound shipments of petroleum products and automobile parts drove exports up 17.9 percent year on year to $38.96 billion. Most of Korea’s key export items displayed doubledigit growth. Notably, the average value of exports per day hit an all-time high, totaling $2.05 billion. The previous record was $1.94 billion.     With the exception of Latin America and Oceania, exports to most of Korea’s key trading partners increased during the first 20 days of February. Outbound shipments to China of textiles, automobile parts and petrochemicals grew 34.5 percent, 24.3 percent, and 19.3 percent, respectively. Outbound shipments of petroleum products to Japan surged 107.2 percent; while exports of ships to the United States and the European Union shot up 110.6 percent and 435.3 percent, respectively.     Meanwhile, imports climbed 16.3 percent to record $36.11 billion. The average value of imports per day stood at $1.9 billion, representing an increase of 25.5 percent from a year ago. During the first 20 days of February, with coal and crude oil gaining 63.3 percent and 34.1 percent, respectively, inbound shipments of raw materials went up 15.1 percent. While imports of capital goods slid 8.6 percent, the corresponding figure for consumer goods was 18.7 percent.       * Released by the Export and Import Division   date2011-03-02

Minister Meets with Leading Foreign Entrepreneurs

Pointing to a significant increase in foreign direct investment (FDI) to Korea in 2010, Minister of Knowledge Economy Choi Joong-Kyung expressed great enthusiasm about prospects for Korea’s business environment during a recent meeting with representatives of key foreign-invested businesses. Korea’s FDI inflow last year amounted to $13 billion, which marked a ten-year high. Minister Choi pointed specifically to Korea’s much-expected progress on bilateral trade partnerships with major trading partners, which will give significant improvements to its investment environment. He also encouraged foreign investors to take full advantage of the country’s strengths in information technology and new growth engine industries. With a three-year plan for facilitating FDI inflows in the works, the Minister urged foreign investors to seize opportunities to benefit from the proactive efforts of the Korean government to provide an ideal business climate as well as favorable living environment. According to the Minister, investors from major partner countries should consider partnerships with local businesses to make the most of Korea’s strong economic growth. He emphasized that such partnerships could greatly boost the performance of both foreign-invested and local firms by tapping into each other’s comparative strengths.   * Released by the Foreign Investment Policy Division   date2011-02-23

Vice Minister Welcomes Mozambican Business Leader

Vice Minister Welcomes Mozambican Business Leader Vice Minister for Trade and Energy Park Young June greets Mr. Nelson Ocuane, head of the Mozambican state-owned oil company Empresa Nacional de Hidrocarbonetos de Mocambique (ENH), in Gwacheon, south of Seoul, February 8. Their discussion focused on energy partnerships and resources development date2011-02-16

Vice Minister Praises High-Performing Foreign Investors

Vice Minister for Industry and Technology Ahn Hyunho recently addressed representatives of the 10 foreign-invested businesses in Korea with the best investment performances of 2010. Vice Minister Ahn praised the companies’ contributions to Korea’s economy, particularly in terms of job creation, and called for their continued support. The Vice Minister noted that 2010 was a good year for foreign direct investment in Korea, with inflows reaching their highest level in nearly a decade. (For further information, please see the press release dated January 5.) In 2011, however, prospects are more uncertain for the world economy and global investment activities. Vice Minister Ahn pointed to Korea’s advantages—specifically, to its strong signs of recovery from the recession and its progress on bilateral trade partnerships with key partners—to show that the country is still a wise investment choice. He promised that Korea would remain attentive to the concerns of foreign investors and would continue to strive for an ideal business environment. To make the most of Korea’s strong economic growth, the Vice Minister encouraged foreign-invested businesses to seek partnerships with local businesses and to increase investment in Korea’s new growth engine industries. He also encouraged them to share their experiences with potential investors at investment promotion seminars.   * Released by the Investment Promotion Division     date2011-02-11

IT Trade Figures for January

The Ministry of Knowledge Economy has released its IT trade figures for January. The national trade balance in the information technology sector totaled $5.85 billion.   Amid fiercer competition in the global IT market, IT exports gained 16.3 percentyear on year to record $12.83 billion, displaying double-digit growth for the 15th consecutive month. Growth remained positive for most key export items, with outbound shipments of semiconductors rising 23.9 percent. Although exports of display panels grew at a slower rate, shipments to emerging markets expanded. Outbound shipments of smartphones shot up 407 percent, bolstering exports of mobile phones in general (up 12 percent). Notably, outbound shipments of solar cells jumped 47.5 percent. Solar cells displayed particularly impressive growth in 2010 (297 percent), creating high expectations for its future role in Korea’s export market.     With the exception of the European Union, exports to primary trading partners China, the United States and Japan increased. Exports of semiconductors to China climbed 25.2 percent, while outbound shipments of mobile phones to the United States gained 28.9 percent. Notably, exports of mobile phones to Japan shot up 524 percent.     IT imports rose 29.5 percent compared with the same period in 2010 to record $6.98 billion. Inbound shipments of mobile phones and electronic components gained 91.1 percent and 24.7 percent, respectively. Tablet and Netbook computers were the main factors behind increased imports of computers and related devices (up 31.3 percent).   * Released by the Electronics and IT Policy Division date2011-02-09

Trade Figures for January

The Ministry of Knowledge Economy has released its trade figures for January. The nation’s trade balance is back in the black after three years in the red, recording $2.96 billion. Year on year, exports hit an all-time high in January. On the back of strong outbound shipments of semiconductors and ships, exports rose 46 percent compared with January 2010 to reach $44.89 billion. The average value of all exports per day climbed 42.9 percent to $1.95 billion. Most of the major export items showed a notable increase; in particular, ship exports displayed three-digit growth. Exports to most of Korea’s key trading partners increased during the first 20 days of January, with outbound shipments to Latin America jumping 137.7 percent. Exports of ships to China and Latin America went up dramatically, posting respective increases of 872.1 percent and 1,324.9 percent. Outbound shipments of steel to the United States (70.7 percent) and the European Union (63.9 percent) also surged.   Meanwhile, imports shot up 32.9 percent to $41.93 billion. The average value of all imports per day increased 30.1 percent to $1.82 billion. Inbound shipments of raw materials went up 29.1 percent, while imports of capital goods and consumer goods rose 25.6 percent and 68 percent, respectively. Imports from major trading partners increased.     * Released by the Export and Import Division date2011-02-01

Parts and Materials Industry Trade Figures for 2010

  The Ministry of Knowledge Economy has released its parts and material industry trade figures for 2010. Following a decline in trade volume in 2009 amid a weakened global economy, 2010 was a good year for exports and the trade balance, both of which hit an all-time high. The trade balance in the parts and materials industry stood at $77.9 billion—lmost double the corresponding figure for all industries, which recorded $41.7 billion. Parts and materials exports climbed 34.1 percent from a year earlier to record $229.3 billion. In particular, outbound shipments of semiconductors, automobile parts and display panels showed a strong increase. Although import growth slowed in the second half of the year, increased domestic demand and robust exports in key industries led inbound shipments for this sector to gain 26.4 percent. In particular, imports of transportation machine parts and basic metals surged.     * Released by the Components and Materials Policy Division   date2011-01-12