Ministry of Trade, Industry and Energy

Korea’s 14 Opportunity and Development Zones kick off new era for noncapital regions

The Ministry of Trade, Industry and Energy (MOTIE) of the Republic of Korea announced today its further designation of six Opportunity and Development Zones (ODZs) following the initial designation of eight of these special zones this June (Daegu, Busan, Jeonnam, Gyeongbuk, Jeonbuk, Gyeongnam, Daejeon, Jeju), laying down the groundwork to usher in an era of new growth for noncapital regions across Korea. Roughly 150 companies are planning to make investments amounting to KRW 16.4 trillion in the six new ODZs—Ulsan, Sejong, Gwangju, Chungnam, Chungbuk, and Gangwon—in addition to the previously poured ₩17.4, approaching ₩33.8 trillion in total investment. The new ODZs have managed to attract diverse companies, with each ODZ specializing in industries suitable for the region’s conditions, including electric vehicles (EVs), secondary batteries, petrochemicals, information and communications technology (ICT), software, robotics, pharmaceuticals, car parts, AI datacenters, biopharmaceuticals, hydrogen, food products, defense, semiconductors, EV materials, battery modules, and minerals. ODZ incentives have also induced some businesses to either turn back from their overseas investment schemes to domestic investments or relocate their facilities based in the Seoul capital area to noncapital parts. With all 14 noncapital regions’ cities and provinces now designated as ODZs, the total investment in Korea’s noncapital regions amounts to ₩74.3 trillion. MOTIE plans to closely monitor investment issues to ensure the timely implementation of planned investments.   date2024-11-06

Invest KOREA Summit 2024 to carry forward momentum towards attaining all-time high FDI

The Ministry of Trade, Industry and Energy (MOTIE) of the Republic of Korea is launching the Invest KOREA Summit (IKS) 2024 from November 6–8 in Seoul. IKS 2024 will be held with the participation of over 2,000 attendees, composed of foreign investors, companies from home and abroad, the chambers of commerce in Korea, embassies to Korea, and local government bodies, who will be taking part in various IKS programs such as the investment declaration ceremony, Invest KOREA (IK) Conference, investor consultations, local governments’ town hall meetings, startup forums, and a foreign media press conference. With foreign direct investment (FDI) pledged to Korea over the first three quarters hitting an all-time high of USD 25.2 billion, the Government plans to give full measure to carry the momentum forward and seek ways to foster the country into a high-tech supply chain hub through greater investment from global advanced companies. Kicking off IKS 2024 is the foreign investment declaration ceremony, announcing a $0.9 billion worth of investments by seven global companies specializing in semiconductor equipment, automobile parts, offshore wind power, and logistics, followed by a ceremony commemorating the new designation of two global companies’ local headquarters in Korea, the first in nine years since the designation of five global companies’ local headquarters in 2015. The designation is meaningful in that Korea joins hands with global companies to nurture its high-tech industrial ecosystem. Multi-national American information technology company Hewlett Packard (HP) will be overseeing global R&D operations in Korea and the world-leading Danish wind turbine maker Vestas is to establish a wind power facility hub, leading to anticipation for quality jobs as well. Next, beginning with MOTIE Minister Dukgeun Ahn’s congratulatory message, the IK Conference invites the world’s oldest operating pharmaceutical firm Merck’s Chief Technology Officer (CTO) Karen Madden and Korea’s Presidential Committee on AI (PCAI) Vice Chairman Yeom Jae-ho as keynote speakers, followed by discussions on Korea’s investment environment and measures to enhance investment appeal with representatives of major foreign-invested companies like Onsemi, ASM, Sartorius, and Boeing. Not only that, but 140 foreign investor companies and 330 domestic firms and institutions are engaging in investment consultations for tangible outcomes. Meanwhile, the local government town hall meeting aims to promote each local government group to foreign investors, while the startup forum connects 50 global investors to 120 promising Korean startups and the foreign media press conference has 33 media outlets from 20 countries covering Korea’s strengths and meaningful achievements with regard to its investment environment. In his congratulatory speech, MOTIE Minister Ahn emphasizes commitment to policy efforts to nurture Korea into a high-tech global business hub through stronger advanced industrial capacity, technology and talent innovation, trade landscape stability, and regulatory upheaval.   date2024-11-06

Foreign Company Day 2024

Minister for Trade Inkyo Cheong of the Republic of Korea attended the Foreign Company Day 2024 on November 5 in Seoul, held to encourage foreign-invested companies and related institutions, and awarded 40 government commendations including the Silver Tower Order of Industrial Service Merit presented to Edwards Vacuum for localization of vacuum pump technology. date2024-11-06

Trade Minister Ahn holds meeting with APEC Vision Group

Minister for Trade Inkyo Cheong convened a meeting with the advisory body APEC Vision Group at the city’s Hwabaek International Convention Center (HICO) on November 1, where the APEC Summit is to be held, to review the Vision Working Group’s proposed tasks and gather suggestions and strategies for narrowing down next year’s APEC trade agenda items. date2024-11-04

Trade Minister Cheong checks APEC 2025 preparations

Minister for Trade Inkyo Cheong of the Republic of Korea visited APEC 2025 host city Gyeongju on November 1 to check the city’s infrastructure situation including traffic, lodging, and venue sites and encourage Gyeongju City Hall workers for their hard work with preparations. date2024-11-04

Trade Minister leads discussions on stronger strategic cooperation with India

Minister for Trade Inkyo Cheong of the Republic of Korea held a conference on October 31 at the Korea Chamber of Commerce and Industry (KCCI) for discussions on measures for stronger strategic cooperation with India, whose importance is growing across the global supply chain. The conference was  held with the participation of related experts and leaders of major economic institutions including the Korea Institute for Industrial Economics & Trade (KIET), Korea Institute for International Economic Policy (KIEP), Korea Rural Economic Institute (KREI), Korea Trade-Investment Promotion Agency (KOTRA), Korea International Trade Association (KITA), and KB Securities. date2024-11-01

Minister Ahn chairs 3rd Global Trade Strategy Meeting

Minister for Trade, Industry and Energy Dukgeun Ahn of the Republic of Korea chaired the third Global Trade Strategy Meeting on October 31 in Seoul with the participation of relevant experts and representatives of economic groups and major industries including semiconductors, automobiles, battery, and steel. date2024-11-01

Korea’s exports rise 4.6% in October

The Ministry of Trade, Industry and Energy (MOTIE) of the Republic of Korea announced today that Korea’s exports for October rose 4.6 percent year-on-year to USD 57.5 billion. Imports rose 1.7 percent to $54.4 billion and the trade balance stood at a surplus of $3.17 billion (up $1.62 billion). This year’s October exports reached an all-time high for the month, maintaining the winning streak for the 13th consecutive month and renewing monthly highs for three months straight since August. Ten out of 15 major items advanced, led by semiconductors (up 40.3 percent to $12.5 billion), which logged historic highs for the month and kept up the growth pace for 12 months straight. Computer exports posted double-digit growth (up 54.1 percent to $1.0 billion) and wireless communications devices (up 19.7 percent to $2.0 billion) climbed for the eighth consecutive month. Automobile exports grew 5.5 percent to $6.2 billion, attaining record highs for October and renewing monthly highs for the second month straight. Car parts hiked 5.9 percent to $1.9 billion, turning to an expansion in three months. Bio-health exports soared 18.5 percent to $1.2 billion, increasing for the fourth consecutive month. Steel exports (up 8.8 percent to $2.9 billion) snapped their eight-month losing streak and petrochemicals (up 10.2 percent to $4.0 billion) turned to growth in two months, while textiles (up 2.5 percent to $0.9 billion) and home appliances (up 5.0 percent to $0.7 billion) both recovered the upward trajectory in three months. Meanwhile, the export of petroleum products (down 34.9 percent to $3.4 billion) shrank from unit cost declines of products tied to oil prices. By region, exports to five out of nine major destinations showed growth. China-bound exports surged on the backs of strong performance by semiconductors and petrochemicals, amounting to an all-time high at $12.2 billion (up 10.9 percent) and growing for the 8th consecutive month.  Exports to the U.S. achieved an unprecedented $10.4 billion (up 3.4 percent) for October, renewing monthly highs for the 15th consecutive month. To the EU (up 5.7 percent to $5.3 billion), demand for wireless communications devices and bio-health led to growth for the third consecutive month. Meanwhile, gas imports increased 30.2 percent but oil price falls reduced crude oil imports (down 17.9 percent), pushing down overall energy imports to $11.2 billion (down 6.7 percent). Non-energy imports increased 4.1 percent to $43.2 billion.   date2024-11-01

USITC determines Korean aluminum extrusions do not injure U.S. industry

The U.S. International Trade Commission (USITC) announced on October 30 (local time) that its anti-dumping investigation results conclude that aluminum extrusions from 14 countries, including Korea, do not injure a U.S. industry. The U.S. antidumping investigations consist of the U.S. Department of Commerce (DOC)’s countervailing duty (CVD) investigations and the USITC’s import injury investigations. All investigations are terminated once the USITC judges that there is no harm done to a U.S. industry. Accordingly, the 0–43.56 percent anti-dumping rate previously levied (U.S. DOC, September 27) on imports of Korean aluminum extrusions is terminated, ensuing that Korea’s export of aluminum extrusions and car parts made using them will no longer be subject to impact from risk of cost increases.   date2024-10-31

Korea eyeing stronger strategic cooperation with India

Minister for Trade Inkyo Cheong of the Republic of Korea held a conference today at the Korea Chamber of Commerce and Industry (KCCI) for discussions on measures for stronger strategic cooperation with India, whose importance is growing across the global supply chain. The conference serves as a follow-up to the Trade Policy Roadmap announced this August, held with the participation of related experts and leaders of major economic institutions including the Korea Institute for Industrial Economics & Trade (KIET), Korea Institute for International Economic Policy (KIEP), Korea Rural Economic Institute (KREI), Korea Trade-Investment Promotion Agency (KOTRA), Korea International Trade Association (KITA), and KB Securities. Attendees shared the view that both economic and strategic partnership with India is rising in importance with respect to Korea’s Indo-Pacific Strategy, with the acknowledgement that other major countries are making efforts for cooperation with India through various ways benefiting regional security and economic growth. Accordingly, experts voiced the need for stronger cooperation with India in sectors of respective competitiveness such as Korea’s digital and advanced manufacturing as well as India’s space and information technology (IT). In his opening message, the trade chief stated that the two countries hold great potential for cooperation over a wide range of areas like trade, investment, and supply chains, but that outcomes so far have remained somewhat limited. He added that the Government will seek tangible collaboration measures by realigning the existing cooperation framework so that Korea and India can scale new heights in bilateral trade and economic cooperation.   date2024-10-31