Ministry of Trade, Industry and Energy

Vice Minister attends Defense Industry and Design Convergence Forum

Vice Minister Sungtaek Park at the Ministry of Trade, Industry and Energy (MOTIE) attended Korea’s first Defense Industry and Design Convergence Forum on September 13 at the Korea Institute of Design Promotion (KIDP) in Gyeonggi Province following the signing of a memorandum of understanding (MOU) for stronger collaboration in weapon systems design, with the participation of 30 related institutions including the Korea Defense Industry Association (KDIA) and design and defense specialized companies. date2024-09-13

Korea’s ICT exports climb 28.5% in August

The Ministry of Trade, Industry and Energy (MOTIE) of the Republic of Korea announced today that Korea’s export and import of information and communication technology (ICT) goods for the month of August 2024 reached USD 20.6 billion and $11.6 billion, respectively, and the trade balance stood at an estimated surplus of $9.0 billion. ICT exports (up 28.5 percent year-on-year) logged double-digit growth for the eighth consecutive month on the backs of robust growth of semiconductors (up 37.6 percent), mobile phones (up 60.1 percent), and computers and peripherals (up 144.2 percent). By item, semiconductors posted double-digit growth for the 10th consecutive month as memory chips (up 71.7 percent to $7.3 billion) and system chips (up 2.7 percent to $4.1 billion) simultaneously advanced. Mobile phone exports surged over 60 percent as finished products (up 95.0 percent to $0.3 billion) and parts (up 53.0 percent to $1.3 billion) enjoyed strong demand. Computers and peripherals skyrocketed as solid-state drives (SSDs) hit a monthly export value of $1.3 billion (up 249.8 percent). By region, exports increased for most destinations, including China (including Hong Kong) (up 27.0 percent), Vietnam (up 7.5 percent), the U.S. (up 57.6 percent), and the EU (up 44.3 percent), whereas exports to Japan declined (down 17.2 percent).   date2024-09-13

K-Defense slicks up design, making ready for global market

The Ministry of Trade, Industry and Energy (MOTIE) and the Defense Acquisition Program Administration (DAPA) of the Republic of Korea held the first Defense Industry and Design Convergence Forum (“Forum”) today at the Korea Institute of Design Promotion (KIDP) in Gyeonggi Province, following the signing of a memorandum of understanding (MOU) for stronger collaboration in weapon systems design, with the participation of 30 related institutions including the Korea Defense Industry Association (KDIA) and design and defense specialized companies. Amid the recent increase of Korea’s arms exports, MOTIE and DAPA held the Forum based on a shared recognition of the need to closely cooperate in developing weapon systems design with aim to preemptively incorporate importers’ requests on not only the performance but also the weapon systems design, user convenience, and safety of Korean defense goods. In his congratulatory remarks, MOTIE’s Vice Minister Sungtaek Park vowed active policy support for the two industries’ collaboration and convergence, sharing plans to strengthen the technological prowess of design firms with respect to AI-based modeling as well as virtual reality (VR)- and augmented reality (AR)-based mockup environment technology.  Plans further include a joint project to support the development of optimal design for defense goods, providing education and design consulting to defense industry insiders at the Design-Driven Manufacturing Innovation Center, selecting and launching pilot projects by the first half of 2025 on improving the weapon systems’ usability and efficiency, and continuing to uncover collaboration items to tie in with project outcomes. For continued collaboration between the two industries, DAPA will uncover projects and conduct demand surveys on weapon systems design improvement, while MOTIE will aim for early commercialization through matching of design-specialized firms and joint projects. Vice Minister Park highlighted that design is a form of soft power that enhances product competitiveness and attractiveness, expressing anticipation for cooperation between MOTIE and DAPA to reduce industrial boundaries and creates synergy for discovering new growth engines.   date2024-09-13

Minister attends Industrial Complex Day 2024

Trade, Industry and Energy Minister Dukgeun Ahn attended the ceremony commemorating the 60th anniversary of Industrial Complex Day on September 12 at G-Tower in Seoul and gave a commemorative speech to 500 attendees. The minister awarded orders of merit and medals of honor to contributors to industrial development, including the Bronze Tower Order of Industrial Service Merit to Kovico CEO for the company’s donations and volunteer service in addition to creating jobs and promoting exports through developing military vehicles and specialty medical vehicles. date2024-09-13

Korea to host 1st World Standards Forum in Seoul in 2025

The Korean Agency for Technology and Standards (KATS) under the Ministry of Trade, Industry and Energy (MOTIE) attended the General Assembly of the International Organization for Standardization (ISO/GA) held from September 9–13 in Cartagena, Colombia, and announced today that the first World Standards Forum will kick off in Seoul in December 2025. Having discussed the launching of a business-led global standards forum for some time, the ISO, the International Electrotechnical Commission (IEC), and the International Telecommunication Union (ITU) officialized plans for the World Standards Forum on the occasion of ISO/GA. The World Standards Forum was proposed by ISO President Sung Hwan Cho’s to the World Standards Cooperation (WSC) with aim to create a next-generation standards forum addressing worldwide issues such as artificial intelligence (AI) and climate change with the participation of global business leaders.  Held under the theme of “Standards for a Better World,” the World Standards Forum 2025 will share best practices and facilitate open discussions on standards strategies from a business perspective among world-leading CEOs and CTOs.  The event is anticipated to serve as an opportunity for strengthening Korean companies’ international standards leadership through strategic cooperation and establishment of collaboration channels with global firms in line with the national standardization strategy for advanced industries announced by the Korean government this May.   date2024-09-12

MOTIE to back joint R&D projects between homegrown companies and world-leading institutions

The Ministry of Trade, Industry and Energy (MOTIE) announced today that beginning in the latter half of this year, Korean firms will be launching joint projects with the world’s leading institutions to jumpstart the development of future new growth engines. Roughly KRW 684 billion will be poured into 140 projects through 2024–2028. Through an open call for mid-to-large sized (up to ₩10 billion), mid-to-long term (up to 5 years) joint R&D projects, MOTIE selected 44 projects among the 247 submitted with aim to develop industrial technologies in six advanced areas—bio, semiconductors, robot, battery, future mobility, and displays. A number of prestigious universities and R&D institutions will be taking part, such as the Massachusetts Institute of Technology (MIT), Harvard Medical School, the University of Cambridge, Stanford University, and the Argonne National Laboratory. Meanwhile, 69 firms and 34 institutions will participate from Korea, including Dongjin Semichem, HanAll Biopharma, and the Asan Medical Center. Selected projects involve foundational technologies that are projected to create a spillover effect for the future economy, such as a new mRNA drug for the age reversal of eyesight and hearing (MIT, HanAll Biopharma), a new drug for minimizing the tolerance and toxicity of anti-cancer drugs (Harvard Medical School, Handok), hydrogen engines harnessing foundational technology developed by the world’s top engine maker (AVL, HD Hyundai Heavy Industries), a high-precision robot system for cerebrovascular surgeries (Johns Hopkins University, LN Robotics), next-generation dry electrode manufacturing (Fraunhofer-Gesellschaft, NANOINTECH), and atomic-level, next-generation patterning materials and processes for ultrafine semiconductor manufacturing (Stanford University, Dongjin Semichem). Moreover, the participation of renowned scholars like MIT Professor Moungi Bawendi, winner of the 2023 Nobel Prize in Chemistry, and UCSB Professor Shuji Nakamura, winner of the 2014 Nobel Prize in Physics, is expected to broaden Korean companies’ scope of vision on global technology trends, while accelerating the output of quality outcomes. MOTIE plans to actively support the global open innovation of Korean companies so that they can claim future new markets based on the synergy between their commercialization competitiveness and overseas foundational technologies.   date2024-09-09

Korea AI and System IC Innovation Center (K-ASIC) opening ceremony

Trade, Industry and Energy Minister Dukgeun Ahn held the launching ceremony of the Korea AI and System IC Innovation Center (K-ASIC) in San Hose, California, on September 5 (local time) and promoted Korea’s system chip companies and their products, and the two countries sought measures for stronger chip industrial cooperation.   The ceremony was attended by representatives of MOTIE, Korea Evaluation Institute of Industrial Technology (KEIT), Korea Semiconductor Industry Association (KSIA), K-ASIC tenant businesses, U.S. chip companies, Stanford University, and relevant industry insiders of both countries. Participants discussed measures for stronger Korea-U.S. semiconductor industrial cooperation. date2024-09-09

Korea AI and System IC Innovation Center takes off in San Hose

The Ministry of Trade, Industry and Energy (MOTIE) announced on September 5 the launching of the Korea AI and System IC Innovation Center (K-ASIC) in San Hose, California, which will serve as a hub for supporting Korea’s system semiconductor companies’ entry into the U.S. market.  Held to promote Korea’s system chip firms and their products, the opening ceremony was attended by representatives of MOTIE, Korea Evaluation Institute of Industrial Technology (KEIT), Korea Semiconductor Industry Association (KSIA), K-ASIC tenant businesses, U.S. chip companies, Stanford University, and relevant industry insiders of both countries. Participants discussed measures for stronger Korea-U.S. semiconductor industrial cooperation. As the U.S. takes up 70 percent of the world’s system chip market, local penetration is essential for Korea’s fabless companies, IP firms, and design houses to grow into global businesses. Accordingly, the ministry has established K-ASIC in San Hose, home to major chip companies, and announced plans to provide comprehensive assistance to domestic firms for U.S. market entry through K-ASIC with respect to technology development, verification, certification consulting, promotion, and networking. Moreover, the ministry intends to continue private sector cooperation through K-ASIC as an extension of joint efforts with the U.S. for next-generation semiconductor collaboration that have continued since President Yoon Suk Yeol’s state visit in April 2023. A MOTIE official stated that AI semiconductor technology is the gamechanger that will further enhance Korea’s chip dominance and expressed hopes for K-ASIC to give birth to a world-leading company. To this end, the ministry aims to establish a base for raising the competitiveness of homegrown companies through funding, talent training, and production infrastructure support, including the development of a system chip verification support center. On occasion of the launching of K-ASIC, MOTIE will hold a conference with chip companies operating in the local U.S. market on September 6 (local time) and discuss measures for stronger support for U.S. market entry.   date2024-09-06

Investigation shows 40 ODP products fail to meet safety standards

The Korean Agency for Technology and Standards (KATS) under the Ministry of Trade, Industry and Energy (MOTIE) announced today that an investigation on 190 popular items sold on overseas online platforms with a large number of domestic users has found that 40 of them fail to comply with Korea’s safety standards. Against the backdrop of increased safety concerns over overseas direct purchases (ODPs), the investigation was conducted on 190 best-selling items sold on overseas online platforms. As a result, 21.1 percent of them failed to meet safety standards, comparatively higher than the performance of domestic retail goods (6.1 percent) investigated during the first half of this year. Fourteen out of the investigated 66 electrical appliance products failed the safety check—direct current power supplies (8), LED apparatuses (3), power plugs and sockets (2), and waffle-makers (1). Among the 30 daily necessity items investigated, 11 tested as unsafe, including portable lasers (3) and helmets (2). Fifteen out of 94 children’s products that failed safety standards were textile goods (7), toys (4), and baby carriers (1). KATS has disclosed the product information of the abovementioned 40 items on related websites (www.safetykorea.kr, www.consumer.go.kr) and requested ODP platform operators to block the selling of these items. KATS plans to keep expanding the scope of safety investigations on ODP products in view of the high level of public concern, with the second round slated for September.   date2024-08-29

Korea steps up support measures for reshoring companies in high-tech strategic industries

The Ministry of Trade, Industry and Energy (MOTIE) announced today that the enforcement of the following two amended public notices—the amended notice on support for reshoring companies (“Reshoring Notice”) and the amended notice on local government entities’ state funding criteria for attracting reshoring companies (“Reshoring Subsidy Notice”)—begins August 30 as part of follow-up to the Reshoring Company Support Strategy 2.0 (announced May 7) to invigorate reshoring in advanced industries. First, the amendments impose a higher cap on state funding for reshoring companies in industries categorized as “National Strategic” and “National High-Tech Strategic Technology.” Companies reshoring to Korea’s capital region will receive up to KRW 20 billion (up ₩5 billion), while those reshoring to non-capital regions will receive up to ₩40 billion (up ₩10 billion).  Second, newly added to the list of businesses eligible for the exemption of overseas subsidiary restructuring requirements are companies manufacturing items of national security concern, as well as those opting to reshore through cooperation with domestic buyers.  Third, with regard to reshored companies in advanced industries, the amended public notices have removed the restriction on making new overseas investments subsequent to receiving subsidies and being granted the exemption of abovementioned overseas restructuring requirements.  Fourth, the amendment provides subsidy priority to high-tech businesses that move into National High-Tech Strategic Industry and MPE (materials, parts, equipment) specialization complexes. Also, the reshoring of two or more companies will be recognized as joint reshoring as long as they have the same overseas business location—even when domestic locations differ— receiving up to a 5-percentage point increase in subsidy rates. According to MOTIE, a total of 13 Korean companies have reshored this year, and the public notice amendments are anticipated to spur further reshoring of firms in advanced industries, such as semiconductors, displays, and secondary batteries.   date2024-08-29