Ministry of Trade, Industry and Energy

U.S.' BorgWarner establishes future mobility R&D center in Daegu National Industrial Complex

Director General for Cross-Border Investment Policy Park Deok-yeol attended the completion ceremony of the U.S.-based BorgWarner’s USD 43.6 million “Future Mobility Electrification Driving System R&D Center” on May 9 in the Daegu National Industrial Complex.   Since its initial establishment of transmission clutch production facilities in 1988, BorgWarner has invested a total of $140 million in Korea. The global automotive and e-mobility supplier currently operates seven production lines in Korea, including BorgWarner Changnyeong and BorgWarner Chungju, and has hired an estimated 1,400 employees. The construction of the R&D center commenced after BorgWarner's submission of its investment declaration during President Yoon’s state visit to the U.S. in September 2022.   The newly constructed R&D center is expected to complete a one-stop support system for the R&D, testing, and demonstration of electric vehicles’ driving systems, while also strengthening Korea’s automobile industry’s technological competitiveness and stabilizing the supply chain. The company will be further recruiting 43 highly skilled technical talents within the Daegu National Industrial Complex in the future, contributing to local employment.     date2024-05-09

Experts gather to discuss trade policy directions amid global paradigm shifts

Minister for Trade Inkyo Cheong attended the 18th Trade Advisory Committee Meeting on May 8 at Lotte Hotel Seoul to discuss future trade policy directions in view of recent changes in the global trade landscape.   The Trade Advisory Committee is a civil advisory body run by the Ministry of Trade, Industry and Energy (MOTIE) in accordance with the Act on procedures for concluding and implementing commercial treaties. Composed of 27 experts across the academic, industrial, and research spheres of various relevant areas, the Committee elected a new Chairperson and appointed new members during this meeting. The Committee is to be combined with another related committee dealing with domestic trade measures to form the Trade Policy Advisory Committee.   Attendees reviewed past trade policy outcomes and engaged in discussions on detailed policy tasks and proposals for Korea to play a key role in global trade while responding to trade environment shifts, such as this “super election year” and the rise in protectionism.   Trade Minister Cheong highlighted that MOTIE plans to “stabilize the supply chain and expand Korea’s export portfolio through upgrading and diversifying the trade network amid global paradigm shifts.” date2024-05-08

Government to strengthen support for reshoring companies in advanced industries

The Korean government plans to raise overall support for reshoring companies by lowering eligibility requisites and standards, while increasing incentives for reshoring firms in advanced industries.   Trade, Industry and Energy Minister Dukgeun Ahn held a meeting with 10 reshored companies on May 7 to discuss support measures, where he announced the ministry’s “Reshoring Company Support Strategy 2.0” and gathered companies’ opinions.   In view of the recent supply chain realignments and rising global protectionism, the Ministry of Trade, Industry and Energy (MOTIE) established support strategies based on opinions provided from relevant industries, experts, and ministries to address the increasing need for stimulating advanced industries’ reshoring.   The strategy aims to lower the eligibility bar to provide wider support. For one, reshoring firms in the retail industry will be eligible for government support and investing reshored capital in Korea will be recognized as a type of reshoring investment.   National strategic technologies, advanced strategic technologies, future mobility parts and products are to be added to the list of business sectors exempted of foreign subsidiary restructuring requisites. Companies subsidized with above restructuring exemptions are to be limited in making overseas investments for a minimum of only one year, instead of the current two.   This year, MOTIE significantly enlarged the reshoring company subsidy budget, up from last year’s KRW 57 billion to 100 billion won. MOTIE also plans to raise the subsidy cap for reshoring investment in national and advanced strategic technologies.   Seven more occupation types are to be added besides the one type currently eligible for the E-7 visa for reshoring companies. Businesses moving into the national high-tech strategic industry and MPE (materials, parts, equipment) specialization complexes will receive preferential support as well.   In 2023, the number of Korean reshoring companies reached 22, with more than 20 firms reshoring every year since 2020. Reshoring companies’ investment plan entered the 1 trillion won thresholds for the second consecutive year in 2023. date2024-05-07

Trade Minister meets Mexico’s Undersecretary of Foreign Trade

Minister for Trade Inkyo Cheong met with Mexico’s Undersecretary of Foreign Trade Alejandro Encinas Nájera on May 3 at the OECD Headquarters in Paris to discuss bilateral trade issues. date2024-05-07

Trade Minister meets with New Zealand's Trade Minister

Minister for Trade Inkyo Cheong met with New Zealand's Trade Minister Todd McClay on May 3 at the OECD Headquarters in Paris to discuss economic cooperation and trade issues. date2024-05-07

Trade Minister meets France's Minister Delegate for Foreign Trade & Economic Attractiveness

Minister for Trade Inkyo Cheong met with Franck Riester, France’s Minister Delegate for Foreign Trade, Economic Attractiveness, Francophonie and French Nationals Abroad, on May 2 on the margins of the OECD MCM 2024 in Paris and discussed bilateral cooperation in trade, investment, carbon-free energy, and multilateral cooperation. date2024-05-07

Trade Minister discusses investment collaboration with global companies on margins of OECD MCM 2024

Minister for Trade Inkyo Cheong met with representatives of global companies on May 2 on the sidelines of attending the Organization for Economic Cooperation and Development (OECD) Ministerial Council Meeting (MCM) 2024 in Paris to discuss cooperation in areas like investment, future mobility, and aviation. He also met with Korean firms operating in the French market to discuss measures for promoting exports in conjunction with the Paris 2024 Olympics.   With a Dutch green bio company, Trade Minister Cheong discussed the company’s decision to establish a manufacturing plant in Korea and expressed his hopes for the investment to serve as an important milestone in Korea’s green bio industrial growth, viewing that local job creation and exports will substantially contribute to the Korean economy.   In Paris, the trade chief also met with a number of companies like NXP, Renault, Airbus, OPmobility, Thales, and Soitec to review investment progress and discuss measures for further cooperation. To NXP and Renault management, he asked, respectively, the prospects of an automobile semiconductor R&D center and electric vehicle (EV) production plant for investment collaboration in advanced industries.   Trade Minister Cheong also held a meeting with Korean businesses operating in Paris to discuss marketing strategies and export assistance to push in conjunction with the Paris 2024 Olympics. He then visited Fnac Darty, the largest French retailer of home appliances, and inspected the Korean home appliance companies’ local market presence in France. date2024-05-03

Trade Minister attends Session 2 of OECD MCM 2024

Minister for Trade Inkyo Cheong attended the Organization for Economic Cooperation and Development (OECD) Ministerial Council Meeting 2024 Session 2 on May 2 at the OECD headquarters in Paris and discussed measures for free trade and investment to accelerate sound economic growth. date2024-05-03

Trade Minister meets OECD Secretary-General

Minister for Trade Inkyo Cheong met OECD Secretary-General Mathias Cormann on May 2 in Paris to discuss measures for stronger Korea-OECD bilateral cooperation. date2024-05-03

Trade Minister holds roundtable with French investors

Minister for Trade Inkyo Cheong attended a roundtable with French investors on May 2 in Paris and discussed investment cooperation measures with representatives of OPmobility, Airbus, and other automobile and aviation firms. date2024-05-03