Ministry of Trade, Industry and Energy

Trade Minister meets European Commissioner for Trade and Economic Security

Minister for Trade Inkyo Cheong of the Republic of Korea held talks with European Commissioner for Trade and Economic Security Maroš Šefčovič on March 10 in Brussels and discussed the changing global trade landscape and trade cooperation measures. date2025-03-12

Korea and Mongolia bolster full life cycle cooperation for rare metals

The Ministry of Trade, Industry and Energy (MOTIE) of the Republic of Korea held the second Korea-Mongolia Rare Metals Cooperation Joint Committee (“Committee”) meeting today in Seoul to boost bilateral cooperation for rare metals supply chains. The Committee is a follow-up to the signing of a memorandum of understanding (MOU) on rare metals supply chain cooperation forged during the Mongolian prime minister's visit to Korea in February 2023. Deputy Minister for Energy Policy Lee Ho-hyeon and Mongolia’s State Secretary of the Ministry of Industry and Mineral Resources Javkhlanbaatar Sereeter led their respective delegations in today’s meeting to discuss various measures for rare metals cooperation with the participation of both countries’ relevant ministries and institutions. By this November, the two countries are looking forward to completing the establishment of materials and equipment for the Korea-Mongolia Rare Metals Cooperation Center, which will serve to support Korean firms’ rare metals technology development as an outpost for entry into Mongolia’s mineral development projects.  Through joint exploration between the Korea Institute of Geoscience and Mineral Resources (KIGAM) and Mongolia’s Geological Center for Research and Analysis (GCRA), efforts will be made to identify rare metal reserves in Mongolia and conduct demonstrations of Korean companies’ exploration technologies. The Korea Institute of Energy Technology Evaluation and Planning (KETEP) plans to launch an R&D project to expedite Mongolia’s tin mining development and contribute to Korea’s supply chains through the application of smart mining technologies suitable for Mongolian sites and the securing of beneficiation pilot plant technologies. Going forward, Korea and Mongolia will be engaging in joint efforts spanning the entire life cycle from exploration to development centering on economically feasible rare metals with aim to stabilize Korea’s supply chains and spur the development of Mongolia’s mineral resources.   date2025-03-12

Korea and Australia discuss trade cooperation

Minister for Trade, Industry and Energy Dukgeun Ahn of the Republic of Korea held a videoconference meeting with Australia’s Minister for Trade and Tourism Don Farrell today, during which they exchanged views on the global trade environment and agreed to closely cooperate on securing supply chain stability. Noting the continually expanding scope of Korea-Australia trade and investment based on their mutually complementary trade structures, Minister Ahn proposed that the two countries advance their existing cooperative ties in energy and resources toward forward-looking areas such as supply chains, clean economy, and digital. Moreover, Minister Ahn requested the Australian government’s interest and support in facilitating the critical minerals and other local projects invested in by Korean businesses. He also called for the active participation and cooperation of Australian authorities and companies for Korea’s successful hosting of APEC 2025 as this year’s APEC chair. date2025-03-11

Korea’s Ambassador for International Investment Cooperation to carry out various outreach with major U.S. think tanks

The Ministry of Trade, Industry and Energy (MOTIE) announced today that Ambassador for International Investment Cooperation Choi Joong-kyung is visiting Washington D.C. through March 10–14 to engage in various outreach activities with major U.S. institutions to strengthen Korea-U.S. economic, industrial, and investment cooperation. Appointed this January by the Korean government as an ambassador-at-large, Ambassador Choi will be visiting think tanks, the U.S. Chamber of Commerce, and companies to expand the scope of bilateral cooperation through discussions on promising areas for industrial cooperation. First, a seminar for promoting Korea-U.S. industry and investment cooperation will be held on March 11 (local time) at the Heritage Foundation, one of the leading U.S. think tanks, where Ambassador Choi introduces the potential and industrial competitiveness of the Korean economy to relevant experts, business leaders, and special correspondents, highlighting that the two countries are most suitable partners for economic and industrial cooperation as allies sharing common values of democracy and free market economy. In his keynote address, Ambassador Choi states that the U.S.’ advanced technology and Korea’s manufacturing capacity can create mutually beneficial synergy based on the two countries’ complementary industrial structures. He proposes that shipbuilding, defense, AI and semiconductors, nuclear reactors, energy, and batteries are six promising areas of bilateral industrial cooperation, maintaining that both countries will be able to enhance their global competitiveness through combining the U.S.’ cutting-edge technologies and security cooperation needs with Korea’s manufacturing infrastructure and highly skilled human resources. Ambassador Choi adds that policy continuity and legal stability are essential prerequisites for Korean companies’ wider investments in the U.S. going forward in areas such as semiconductors, batteries, and other manufacturing sectors, underscoring the need for transitional measures in adjusting existing policies when it comes to business projects for which investments have already been made. During his visit, Ambassador Choi plans to also meet with key experts at the U.S. Chamber of Commerce, Peterson Institute for International Economics (PIIE), Korea Economic Institute of America (KEI), Brookings Institution, and the Center for Strategic and International Studies (CSIS) to discuss strategic bilateral cooperation across all areas including politics, economy, security, and international environment.   date2025-03-11

Korea and EU launch 12th FTA Trade Committee meeting

Minister for Trade Inkyo Cheong of the Republic of Korea and European Commissioner for Trade and Economic Security Maroš Šefčovič co-chaired the 12th Korea-EU FTA Trade Committee (“Committee”) meeting on March 10 in Brussels, Belgium, with the participation of both sides’ delegations including the European Commission’s Deputy Director-General for Trade Maria Martin-Prat. At the meeting, the two sides discussed various issues including sanitary and phytosanitary (SPS) measures, electric vehicle (EV) subsidies, market access, and trade and sustainable development (TSD). The Korean delegation requested the EU’s swift implementation of import approval procedures for Korean fresh beef and a review of France’s EV subsidy policy, in addition to market access issues concerning the EU’s battery regulation, steel safeguard, fluorinated greenhouse gas (F-gas) regulation, and the Carbon Border Adjustment Mechanism (CBAM). Agreeing on the need for discussions regarding supply chains and such new trade issues, they decided to launch the Committee on Emerging Trade and Economic Issues within the Korea-EU FTA. Moreover, the Committee meeting served as an occasion for confirming the conclusion of the Korea-EU Digital Trade Agreement (DTA), which will undergo legal scrubbing and other domestic procedures going forward.   date2025-03-11

ASEAN-ROK Think Tank Dialogue (AKTD) officially launched as platform to strengthen Korea-ASEAN economic and trade cooperation

The Ministry of Trade, Industry and Energy delegation (led by Jong-chul Kim, Director-General for Trade Cooperation) visited Jakarta, Indonesia from March 6 to March 7 to attend the kickoff meeting of the ASEAN-ROK Think Tank Dialogue on Economic and Trade Policy (AKTD) and the opening ceremony of the Korea-Southeast Asia Policy Cooperation Center, aimed at strengthening multilateral economic policy cooperation with ASEAN. Additionally, the delegation visited the Coordinating Ministry for Economic Affairs of Indonesia to discuss cooperation measures on major trade issues such as global supply surpluses and to review key bilateral economic cooperation issues. On March 7, the AKTD kickoff meeting was held at Hotel Mulia in Jakarta. AKTD is a public-private cooperation-based economic policy research project jointly led by the Korea Institute for Industrial Economics & Trade (KIET) and the Korea Chamber of Commerce and Industry (KCCI). The initiative was officially proposed by Korea at the 25th ASEAN-ROK Summit held in Laos in October 2024. Think tanks from Korea and ASEAN will collaborate on economic and trade research to enhance ASEAN’s policy-making and economic development. Participants discussed research topics, methodologies, and the implementation schedule. ASEAN think tanks acknowledged that Korea’s industrial policy experience, combined with ASEAN’s growth potential, could create synergies through AKTD. In his congratulatory remarks, Director-General Kim emphasized, "I hope that AKTD will establish itself as a leading policy platform for Korea-ASEAN economic cooperation and serve as a means to contribute to ASEAN’s balanced economic development through substantive activities." Earlier that day, the opening ceremony of the Korea-Southeast Asia Policy Cooperation Center took place. Established by KIET, the center will conduct ASEAN-focused policy research and support local business expansion. It will also serve as a venue for public-private-academic policy dialogues involving local Korean businesses, ASEAN governments, and research institutions. Through this initiative, the center aims to incorporate the real needs of Korean businesses into ASEAN’s industrial policies and foster closer economic policy cooperation with ASEAN. Furthermore, the MOTIE delegation met with Irwan Sinaga, Director-General for Bilateral Cooperation at Indonesia’s Coordinating Ministry for Economic Affairs, to hold in-depth discussions on cooperation in a wide range of areas, including trade and investment, supply chains, and high-tech industries. Notably, the two sides agreed to convene the Korea-Indonesia Economic Cooperation Committee as soon as possible, a high-level economic cooperation channel between MOTIE and the Coordinating Ministry for Economic Affairs, to comprehensively review bilateral economic cooperation issues—including challenges faced by businesses—and seek practical support measures. MOTIE will continue to support ASEAN-related economic policy cooperation activities led by private research institutions and think tanks, such as AKTD and the Korea-Southeast Asia Policy Cooperation Center. At the same time, MOTIE plans to further expand bilateral and multilateral economic cooperation with ASEAN—a key region in the Global South—by maintaining close government-to-government communication with Indonesia and other key partner countries. date2025-03-07

MOTIE holds conference on promoting R&D of foreign-invested companies

Director-General for Cross-Border Investment Policy Peob-min Ryu at the Ministry of Trade, Industry and Energy (MOTIE) of the Republic of Korea visited energy solutions company Danfoss Korea today in Seoul, where he held a conference with foreign-invested companies to discuss issues regarding participation in domestic technology development projects and to seek measures for boosting the R&D investment of advanced technology-holding foreign-invested companies.   date2025-03-06

Foreign-invested companies to gain greater R&D support

Director-General for Cross-Border Investment Policy Peob-min Ryu at the Ministry of Trade, Industry and Energy (MOTIE) of the Republic of Korea visited energy solutions company Danfoss Korea today in Seoul, where he held a conference with foreign-invested companies to discuss issues regarding participation in domestic technology development projects and to seek measures for boosting the R&D investment of advanced technology-holding foreign-invested companies. MOTIE is currently pushing measures to catalyze the R&D of foreign-invested companies through cooperation with foreign-invested companies in Korea and the country’s industrial, academic, and research institutions. Having rolled out a global industrial technology R&D project exclusively for foreign-invested firms last year, the Korean government expanded this year’s related budget to KRW 3.5 billion (up ₩2 billion from ₩1.5 billion in 2024) and will be announcing new projects during this month to recruit companies wanting to participate. In addition to R&D support, the Government also increased cash grants by 10 percent (up by 15 percent for noncapital regions) and raised the cash grant limit for high-tech strategic technology R&D centers to 75 percent in 2025 (up from 40 percent in 2024). Having launched the Korea-Global Innovation Investment Alliance (“Alliance”) for foreign-invested firms’ wider participation in the R&D ecosystem, the Government plans to step up the Alliance’s activities to promote networking between foreign-invested companies and industrial, academic, and research institutions.   date2025-03-06

Korea’s average tariff rate on U.S. imports is close to 0%

After U.S. President Donald Trump stated in his address to a joint session of Congress on March 4 (local time) that Korea’s average tariff rate is four times higher than that of the U.S., multiple media outlets reported on the comment. Under the Korea-U.S. Free Trade Agreement (KORUS), which entered into force in 2012, both Korea and the U.S. have eliminated tariffs on most goods. As of 2024, Korea’s effective tariff rate for goods imported from the U.S. is approximately 0.79%. While Korea’s most-favored nation (MFN) applied tariff rate is 13.4% (approximately four times higher than the U.S. rate of 3.3%), this MFN rate differs from the KORUS preferential tariff rates that Korea applies to U.S. imports. MFN tariff rates apply to imports from members of the WTO (World Trade Organization) that do not have preferential trade agreements with Korea. date2025-03-05

Korea and Spain advance joint R&D cooperation in cutting-edge industries

The Ministry of Trade, Industry and Energy (MOTIE) of the Republic of Korea and Spain’s Ministry of Science, Innovation and Universities (MICIU) held the second Korea-Spain Industrial Technology Cooperation Joint Committee (“Joint Committee”) meeting today in Madrid. Since 2015, the two countries have engaged in bilateral technology cooperation through the Eureka Network, the world’s largest R&D platform in which 48 countries around the world are participating. Under the aim to expand the scope and scale of bilateral cooperation, they established a joint R&D program in 2023 for medium to large-sized projects in line with their respective industrial strategies, funding a combined KRW 25.6 billion to joint R&D projects in areas like mobility and renewable energy. At today’s Joint Committee meeting, both sides shared the view that artificial intelligence (AI), advanced materials, and semiconductors serve as critical elements across all industries. Accordingly, they selected AI and semiconductors as main technology collaboration areas for 2025 and advanced materials and nanomaterials as those for 2026 with plans to fund an estimated ₩27 billion in joint R&D. It is anticipated that this technological cooperation among Korea and Spain’s academia, industries, and research institutes will create opportunities for both countries to swiftly apply innovative technologies in various sectors to further enhance their industrial competitiveness. Following the Joint Committee, the two sides plan to continue their bilateral technological exchanges through the Korea Eureka Day slated for April in Germany this year to actively support promising joint projects.   date2025-03-05