Ministry of Trade, Industry and Energy

Korea, Russia Take Substantial Step Forward With MOU on Industrial Cooperation

Korea, Russia Take Substantial Step Forward With MOU on Industrial Cooperation Russian Minister of Industry and Trade Viktor Khristenko traveled to Seoul to meet with Minister of Knowledge Economy Choi Joong-Kyung and sign a memorandum of understanding that will cement the strategic partnership between the two nations. The MOU addresses three main areas: industrial technology, technology standards, and trade and investment. With the shared goal of attracting private investment in the commercial date2011-05-02

Delegates Seek Clean Energy Partnerships at U.S.-Korea Energy Consultations

Working-level delegates from Korea and the United States gathered in Seoul last week to discuss the transition to a cleaner economy at the fourth U.S.-Korea Energy Consultations. Representatives of U.S. research institutions traveled to Korea to explore clean energy solutions such as carbon capture and storage, electric car batteries and clean coal. Nuclear energy, gas hydrates and smart grids were also addressed. The Consultations built on progress made last year at the first Clean Energy Ministerial in Washington, D.C.   As a result of the Consultations, a number of joint projects are under consideration between Korea and the United States. The two countries have already taken an important step in the area of smart grids: The Ministry of Knowledge Economy is collaborating with the State of Illinois on a pilot project to dramatically reduce energy consumption in Chicago’s skyscrapers.   * Released by the Energy and Resources Policy Division date2011-04-28

Minister Addresses EU Investors Ahead of FTA Effectuation

Minister Addresses EU Investors Ahead of FTA Effectuation A luncheon meeting hosted by the European Union Chamber of Commerce in Korea (EUCCK) drew nearly 70 European business leaders on April 13. Minister of Knowledge Economy Choi Joong-Kyung delivered the keynote speech. With the Korea–EU FTA due to take effect in July, the strong ties between Korea and the European Union are about to grow even stronger, Minister Choi explained. Pointing to Korea’s progress on FTAs with major coun date2011-04-25

Clean Energy Ministerial Produces Action on Smart Grids

Minister of Knowledge Economy Choi Joong-Kyung traveled to Abu Dhabi to attend the second Clean Energy Ministerial earlier this month. Korea, Australia, Canada, France, Germany, Italy, Mexico and the United States signed an agreement that will strengthen the International Smart Grid Action Network (ISGAN). ISGAN is a mechanism for multilateral collaboration in which Korea has taken the lead. The network was launched at the first Clean Energy Ministerial in July 2010, and the new implementing agreement will ensure its operational efficiency and institutional stability. Through ISGAN, countries can actively share information about ongoing smart grid projects so as to ensure the interoperability of the technology. This will facilitate the wider adoption of renewable energy sources such as solar and wind power, which can be harnessed safely and effectively once the advanced power grids are in use. “Globally, many countries have their own smart grid projects in various stages,” Minister Choi said at the Ministerial. “Considering how complex the systems are, it is imperative that we share our knowledge and enhance cooperation.” The Clean Energy Ministerial involved government ministers from more than 20 countries, who gathered to review the progress of their efforts to disseminate clean energy and increase energy efficiency. ISGAN was one of 11 initiatives launched at last year’s meeting.   * Released by the Energy and Resources Policy Division   * For further information, please see the attached files. 1. Transcript of the Minister’s presentation 2. CEM 2011 Fact Sheet: International Smart Grid Action Network (Source: )   date2011-04-21

Retail Sales Figures for March 2011

The Ministry of Knowledge Economy has released its retail sales figures for the month of March. Sales at the nation’s three major discount chains and its three major department store chains posted positive growth. Greater spending on food, which accounted for 54.6 percent of all sales, drove up sales at the major discount chains 1.9 percent. Sales were down in some categories such as household appliances and cultural goods (-13 percent), general goods (-1.4 percent) and apparel (-0.5 percent); however, spending on food, sporting items and household goods climbed 5.8 percent, 5.3 percent and 1.4 percent, respectively. Sales at the nation’s three major department store chains displayed double-digit growth (13.1 percent), and spending was up across a wide spectrum of categories. General goods, women’s suits, women’s casual wear, men’s clothing, children’s goods and sporting items, household goods and food gained 12.4 percent, 4.5 percent, 7.5 percent, 7.6 percent, 15.7 percent, 16.2 percent and 12.0 percent, respectively. Notably, luxury goods posted a 27 percent increase in sales and accounted for 14.1 percent of all sales—up from only 13.1 percent in February. Spending on household goods increased, mainly as a result of promotions and discounts involving home appliances.   * Released by the Distribution and Logistics Division date2011-04-15

MKE Releases Car Sales Figures for March

MKE Releases Car Sales Figures for March The Ministry of Knowledge Economy has released its car sales figures for Vehicle production and exports reached record heights despite the earthquake in Japan. The crisis seems to have had minimal impact on Korean automakers, which had adequate stockpiles of Japanese components. Sales of both domestic and imported cars saw a third consecutive month of positive growth. Korea produced 395,899 vehicles, a 3.6 percent increase from 2010, on the back of robus date2011-04-14

Parts and Materials Industry Trade Figures for First Quarter

The Ministry of Knowledge Economy has released its parts and materials industry trade figures for the first three months of 2011. The trade balance for that sector posted a $20 billion surplus—ore than twice as much as the corresponding figure for all industries combined. Amid external factors such as political instability in Libya and the recent earthquake in Japan, exports in the parts and materials industry posted an 18.3 percent increase to record $61 billion. In particular, exports of basic metals and general machinery parts showed a marked increase. This strong showing is partly attributable to the global economic recovery. Notably, outbound shipments to China reached the highest quarterly level, totaling $21.2 billion; however, with increased exports to other trading partners China accounted for 34.7 percent of all exports, down from 35.9 percent in the fourth quarter of 2010. Shipments both to and from Japan have increased, suggesting the earthquake has had minimal effects on bilateral trade in the short term.   * Released by the Components and Materials Policy Division date2011-04-13

Foreign Investment Figures for First Quarter

Foreign direct investment (FDI) pledges amounted to $2.01 billion, representing a year-on-year decline of 30.1 percent in the first quarter of the year. Despite external factors such as political instability in the Middle East and North Africa and a devastating earthquake in Japan, the inflow of foreign capital into Korea has continued its upward swing on the back of the recovery of the global economy, a positive outlook for domestic growth, and an improved business environment.     Inward capital flows from the United States displayed a marked expansion, having jumped 1,068 percent to $467 million. Notably, FDI from the United States in the manufacturing sector surged 3,333 percent. The recent earthquake did not seem to hinder investment from Japan, which posted a 40.1 percent year-on-year increase. Investment from the European Union, however, dropped 48.5 percent to $434 million. Foreign capital from China went up 103.1 percent to $65 million, partly due to the launch of the “China Desk.”     For the first three months of 2011, both the manufacturing and service sectors saw foreign investment rise. FDI in the manufacturing sector climbed 20.3 percent to $787 million, while capital flows into the service sector gained 45.7 percent to record $1.19 billion. Greenfield investments stood at $1.49 billion, an increase of 48.7 percent, and FDI through mergers and acquisitions dropped 5.1 percent to $506 million.   * Released by the Foreign Investment Policy Division   date2011-04-11