Ministry of Trade, Industry and Energy

Trade Minister discusses support for Korean firms operating in U.S. with Tennessee governor

Minister for Trade Inkyo Cheong held talks via videoconferencing with Bill Lee, Governor of Tennessee, U.S., on April 23 (KST) and discussed measures for stronger trade and economic cooperation.   Noting that the Korea-U.S. alliance is advancing to one of high-tech industries and supply chains, the trade chief said that Korean producers of battery, anodes, and cathodes investing in Tennessee is a good example of bolstered cooperation. Moreover, he highlighted that he looks forward to State Government-level support for Korean firms for stable investment and business management in terms of infrastructure and tax credit.   Trade Minister Cheong also requested that careful attention be given to ensure that Korean battery, anodes, and cathodes companies investing in the State of Tennessee duly receive their Inflation Reduction Act (IRA) tax incentives. In addition, he asked for cooperation with respect to recent issues on visas required for dispatching experts for local personnel training and equipment handling prior to factories’ commencing local operation.   Governor Lee addressed Korean companies’ recently increasing investment in the U.S. and stated that close attention will be paid with regard to Korea’s requests. date2024-04-24

Trade Minister discusses support for Korean firms in China's Liaoning Province

Minister for Trade Inkyo Cheong met with Hao Peng, Communist Party secretary of Liaoning Province of China, on April 23 in Seoul and asked for interest and support towards the approximately 500 Korean firms currently operating in the Liaoning Province in terms of predictable business management conditions.   Secretary Hao replied that Korean firms take up the second largest portion in terms of the Liaoning Province’s foreign trade, and that their contribution to the local economy is substantial, stating that efforts will be made to further invigorate economic cooperation between Korea and Liaoning Province and to support Korean firms’ stable business operations.   The Ministry of Trade, Industry and Energy (MOTIE) is currently supporting local business operations of Korean companies in the Chinese market through activating communication channels at multiple levels with China’s central government and major local authorities. date2024-04-24

Korea and Romania to further nuclear and energy cooperation

Trade, Industry and Energy Minister Dukgeun Ahn met with Romania’s Energy Minister Sebastian Burduja on April 23 on the occasion of the Romanian President Klaus Iohannis’ state visit to Korea and signed the memorandum of understanding (MOU) on bilateral nuclear energy cooperation in the presence of the two countries’ presidents.   The MOU designates the following as the core cooperation areas for Korea and Romania: nuclear equipment improvement; safety equipment; materials and equipment supply chain; nuclear fuel; small modular reactors (SMRs); and radioactive waste management. The two sides as will be installing a public-private nuclear industry dialogue channel as well. With the basis for mid-to-long term cooperation laid down at the governmental level, it is anticipated that discussions for collaboration across a wide range of areas will accelerate in the future.   The two ministers shared their respective energy policies and measures for stronger energy cooperation, agreeing to give full support towards the successful completion of the tritium removal facility project Korea Hydro Nuclear Power (KHNP) won in June 2023. They also decided to further expand the scope of nuclear cooperation to cover Cernavoda nuclear power plant Unit 1 facility improvement and nuclear fuel supply chain issues. The two countries will be holding a nuclear industry dialogue within this year as part of swift follow-up measures to the bilateral summit talks.   date2024-04-24

Trade Promotion Committee discusses IPEF and Korea-EU Digital Trade Agreement

Minister for Trade Inkyo Cheong chaired the 38th Trade Promotion Committee meeting on April 23 and led discussions on the progress of Indo-Pacific Economic Framework for Prosperity (IPEF) Supply Chain and Clean Economy Agreements and forward-looking measures for their utilization.   With the IPEF Supply Chain Agreement having entered into force on April 17 in Korea, the ministry plans to selectively sort critical items and push joint projects, diversify import channels, and improve logistics through coordination with IPEF partner countries, all of which are anticipated to substantially contribute to Korea’s industrial supply chain stabilization.   Moreover, the Government intends to actively engage in the IPEF Clean Economy Investor Forum and IPEF Catalytic Capital Fund to widen Korean companies’ doors of opportunity in entering the KRW 200 trillion Indo-Pacific clean economy cooperation market.   Next, attendees discussed the progress on Korea-EU Digital Trade Agreement negotiations. As the existing Korea-EU Free Trade Agreement (FTA) does not reflect the recent changes in digital trade, the need for digital trade rules improvement between the two sides is rising. Accordingly, the Korean government declared the commencement of negotiations for the bilateral digital trade agreement in October 2023 and has convened three official negotiating rounds thus far, with plans to swiftly proceed with negotiations in the future for establishing the bilateral digital trade agreement in line with the high standards of the Korea-EU digital trade principles. date2024-04-23

Korea and Canada discuss measures for stronger trade and economic cooperation

Minister for Trade Inkyo Cheong met with Canada’s Minister of Export Promotion, International Trade and Economic Development Mary Ng, Head of the Canadian business delegation, on April 22 in Seoul and held trade ministerial talks.   During the bilateral talks, Trade Minister Cheong suggested that Korea and Canda bolster their cooperation in natural gas, critical minerals, and batteries, while expanding the scope of cooperation to areas like clean energy and small modular reactors (SMRs). He also requested the Canadian government’s interest and cooperation in facilitating Korean firms’ local investment and supply chain endeavors.   The trade chief also met with Goldy Hyder, President of the Business Council of Canada, on the margins of the business delegation’s visit to Korea and discussed private sector efforts in translating government efforts into concrete joint projects.   Canada’s business delegation visit to Korea is the largest bilateral economic cooperation event following the upgrade of their relations to a Comprehensive Strategic Partnership in 2022, held with participation of more than 170 Canadian firms and institutions for stronger networking and uncovering new joint projects between the two countries’ companies.   Moreover, under the shared understanding that trade and investment cooperation is key, the two sides held the fourth Korea-Canada Free Trade agreement (FTA) Joint Committee meeting on a ministerial level, which is a first. date2024-04-23

Korea and Japan hold bilateral trade and industry ministerial talks

Trade, Industry and Energy Minister Dukgeun Ahn visited Tokyo on April 22 and met with Saitō Ken, Japan’s Economy, Trade and Industry Minister, in commemoration of the one-year anniversary of the Korea-Japan Summit held March 2023 and “shuttle diplomacy.”   The ministers discussed follow-up measures to bilateral summit agenda items in industry, trade, and energy, as well as forward-looking cooperation. A first since 2018, the official talks were held as an extension of the two countries’ recently strengthening bilateral relations and mutual visits.   Both sides highly assessed the fact that the collaboration between Korean and Japanese companies is kicking into high gear on the backs of the bilateral summit diplomacy and decided to continue promoting the cooperation between their governments and business communities, while giving mutual support to investment companies by installing a regular communication channel between Korea’s MOTIE and the Seoul-Japan Club (SJC), and between Japan’s Ministry of Economy, Trade and Industry (METI) and the Korea Business Association (KOBA).   Moreover, the two sides shared the view that wider cooperation is needed in decarbonization and new energy areas for achieving carbon neutrality goals by 2050, agreeing to cooperate through the Carbon Free Energy (CFE) Initiative. In this regard, a director-level climate policy cooperation working group will be established for global clean technology and product evaluation and global carbon regulatory response.   The ministers agreed to push forward cooperation in clean hydrogen and ammonia and to discuss detailed measures through the director general-level Korea-Japan hydrogen cooperation dialogue in the future. In addition, they concurred that supply chain stabilization is a pending challenge for both countries and agreed to install a dialogue channel for information exchange.   Furthermore, both sides noted the importance of economic and trade cooperation among Korea, Japan, and China, on which Japan expressed support for Korea’s successful hosting of the 13th Korea-Japan-China economy and trade ministers’ meeting this year. The two countries will also further coordination on the Korea-U.S.-Japan trilateral meeting among their industry and commerce leaders.   Lastly, the trade and industry chiefs agreed to make joint efforts on issues concerning the World Trade Organization (WTO) reform, including the WTO dispute settlement system, investment facilitation for development, and e-commerce moratorium negotiations. date2024-04-23

Japan's advanced materials companies pledge $120 mln investment in Korea

The Ministry of Trade, Industry and Energy (MOTIE) announced on April 22 that on the occasion of Minister Dukgeun Ahn’s visit to Tokyo, Japan’s Toray Industries and another semiconductor materials company confirmed a pledge for combined investment of USD 120 million and submitted their investment declarations.   Japan’s largest investor to Korea in the manufacturing industry, Toray Industries has invested over KRW five trillion in Korea since entering the market in 1963 and has continued to expand its business scope. The company produces high-performance materials like carbon fibers, super engineering plastic, and aramid fibers for secondary battery separators and other advanced components.   Toray Industries has plans for large-scale investment in Korea in line with its business outlook of augmenting the production line by 2025. Once the aramid fibers manufacturing facility is completed in 2025, Toray Industries will start producing highly heat resistant meta-aramid fibers for electric vehicle (EV) motors.   On the heels of the investment declaration ceremony, Minister Ahn met with a major Japanese chemical company to discuss investment in anodes production facilities, and Toshiki Kawai, the CEO of global semiconductor equipment manufacturer Tokyo Electron Ltd., for bilateral talks.   The minister also chaired a meeting with Korean companies operating in the local Japanese market in various areas, including semiconductors, electrical and electronics, steel, chemicals, aviation, power generation, and agricultural food products, and discussed measures for promoting exports. date2024-04-23

Experts from 40 countries gather in Seoul to further AI global standards development

The Korean Agency for Technology and Standards (KATS) under the Ministry of Trade, Industry and Energy (MOTIE) is hosting the 13th Plenary of ISO/IEC JTC 1/SC 42 Artificial Intelligence through April 22-26 in Seoul at the Korea Chamber of Commerce and Industry (KCCI) with the attendance of approximately 270 global AI experts from 40 countries, including the U.S., UK, Germany, and Japan, and companies like Google, Microsoft, NVIDIA, KT, and Naver.   The plenary meeting will cover issues in Generative AI ethics, AI credibility evaluation, maturity model for evaluating the performance of AI system development, and AI management system guidelines. Experts from Thailand, Cambodia, and five other Southeast Asian countries are also attending the sessions for the first time to experience the AI standardization process.   At the meetings, KATS will be proposing two new types of international standards concerning the AI ethics review format and AI maturity model, as well as the installation of a “standardization advisory group” for expanding the scope of AI application across all industries.   Meanwhile, an AI Standards Open Workshop and a “Korean-English AI for All” panel discussion will be held online for public viewing on the sidelines of the plenary sessions on April 24 and May 2, respectively. date2024-04-22