Ministry of Trade, Industry and Energy

Merck invests KRW 430 bln in bioprocessing materials plant in Daejeon

Minister for Trade Inkyo Cheong attended on May 29 the groundbreaking ceremony for Germany-based Merck’s KRW 430 billion (EUR 300 million) Bioprocessing Production Center to be built within the Daejeon International Science Business Belt.   Having entered the Korean market in 1989, Merck currently operates 13 production and R&D facilities in areas like Pyeongtaek, Anseong, and Incheon, employing approximately 1,730 workers.   The groundbreaking ceremony is an outcome following the memorandum of understanding (MOU) on investment cooperation for a bioprocessing materials plant signed in May 2023 by the Ministry of Trade, Industry and Energy (MOTIE), Daejeon Metropolitan City, and Merck. On completion of the plant in 2026, the German company will be supplying raw and subsidiary materials essential for processing biopharmaceuticals to domestic buyers as well as biopharma manufacturers in the Asia-Pacific region, with plans for 300 new local hires in Daejeon.   Trade Minister Cheong stated that “Merck’s investment is expected to not only expand exports and secure a stable domestic supply chain for bioprocessing raw and subsidiary materials, but also stimulate the local economy through creation of quality jobs in Daejeon,” and added that the Government will continue to nurture a choice investment environment for Merck and other advanced global companies. date2024-05-29

Korea and Georgia hold 2nd official negotiating round for bilateral EPA

Director General for FTA Negotiations Peob-min Ryu is leading the Korean delegation in the second official round of negotiations for the Korea-Georgia Economic Partnership Agreement (EPA) through May 29–31 in Seoul. Georgia’s delegation is headed by Economy and Sustainable Development Deputy Minister Genadi Arveladze.   Following the launch of negotiations in November 2023, the two sides have managed to swiftly reach agreements in many areas through the first official negotiating round and the intersessional negotiations held in February and April this year, respectively.   In this second round, negotiations will take place across a total of 13 Working Groups on various areas, including goods, services, digital, and cooperation. The Korean government anticipates that the bilateral EPA will contribute to strengthening the two countries’ economic ties. date2024-05-29

Korea's retail industry grows 10.8% in April

The Ministry of Trade, Industry and Energy (MOTIE) announced on May 28 that Korea’s retail industry grew 10.8 percent year-on-year in April 2024, with offline sales inching down 0.2 percent and online sales soaring 22.2 percent, respectively.   MOTIE releases monthly retail sales figures based on surveys of 25 major retailers. Thirteen of them are brick-and-mortar retailers: three department store chains, three hypermarket chains, three convenience store chains, and four super supermarket (SSMs) operators. The remaining 12 are online retailers.   Offline sales slid as supermarket discount promotions that were concentrated in April 2023 became relatively dispersed this year. Online sales increased on the backs of strong demand for convenience food products, travel packages, delivery services, and other various discounts.   By offline retail channel, hypermarket sales dropped 6.7 percent, as most items like home/living (down 13.9 percent), home appliances/culture (down 13.2 percent), miscellaneous goods (down 11.7 percent), and sports (down 10.8 percent) decreased, while sales of clothing (up 2.7 percent) increased.   Department store sales fell 2.0 percent as men’s clothing (down 7.8 percent), women’s suits (down 5.1 percent), kids/sports (down 3.7 percent), and foreign designer labels (down 3.3 percent) declined. Sales of household goods (up 2.9 percent) improved.   Convenience (up 5.9 percent) stores enjoyed growth across all items, especially for tobacco/other (up 5.5 percent), miscellaneous goods (up 3.7 percent), beverages/processed food products (up 7.3 percent), and instant food products (up 3.5 percent).   SSM operators gained 3.2 percent despite the shrink in daily necessities (down 8.2 percent), as sales of food products like agriculture, fishery, and livestock products (up 7.8 percent) and processed food products (up 1.0 percent) expanded.   Online sales jumped 22.2 percent, driven by the steep ascent of food products (up 28.1 percent), living/furniture (up 19.0 percent), and service/other (up 54.4 percent) with the rollout of various discounts. Meanwhile, sales of fashion/clothing (down 4.1 percent) decreased. date2024-05-28

Korea holds JTC3 Inaugural Plenary Meeting

Standards Policy Director General Oh Kwang-hae attended the Inaugural Plenary Meeting of the IEC/ISO JTC 3 (“JTC3”), to be held from May 28–30 at the Plaza Hotel Seoul, where approximately 100 representatives from 22 countries, including the U.S., UK, Germany, and China, gathered to discuss quantum technology development and standards strategies. date2024-05-28

Korea-UAE Business & Investment Forum

Minister for Trade Inkyo Cheong attended the Korea-UAE Business & Investment Forum on May 28 with UAE Minister of State for Foreign Trade Thani bin Ahmed Al Zeyoudi, as well as 200 business leaders of both countries, where Medytox (Korea) and Tecom Group (UAE) signed a letter of intent (LOI) on the establishment of a plant in UAE producing botulinum toxin, the world’s first and only non-animal liquid toxin drug. date2024-05-28

Korea and New Zealand hold 6th FTA Joint Committee meeting

Director General for FTA Policy Ahn Chang-yong led the Korean delegation in the sixth Korea-New Zealand Free Trade Agreement (FTA) Joint Committee meeting held on May 28 in Seoul. His counterpart Greg Andrews from the Ministry of Foreign Affairs and Trade (MFAT) headed the New Zealand delegation. They covered FTA outcomes, measures for enhancing exporters and importers’ convenience, and joint projects in conjunction with FTA among other various issues of interest. date2024-05-28

Trade Minister meets ASEAN Secretary-General

Minister for Trade Inkyo Cheong met with the Association of Southeast Asian Nations (ASEAN) Secretary-General Kao Kim Hourn on May 28 in Seoul to discuss measures for expanding Korea-ASEAN trade, investment, and joint projects. date2024-05-28

Korea hosts Inaugural Plenary of JTC3 for standards development in quantum technology

The Korean Agency for Technology and Standards (KATS) under the Ministry of Trade, Industry and Energy (MOTIE) is holding the Inaugural Plenary Meeting of the IEC/ISO JTC 3 (“JTC3”) from May 28–30 at the Plaza Hotel Seoul with the participation of approximately 100 representatives from 22 countries, including the U.S., UK, Germany, and China.   Aware that quantum technology is key to future advanced industries, the International Electrotechnical Commission (IEC) and International Organization for Standardization (ISO) jointly established JTC3 in December 2023 with aim to catalyze both R&D and industrialization of quantum computing, communications, materials, and sensing through standardization, which comes 37 years since launching the ISO/IEC JTC 1 in 1987 as a joint technical committee (JTC) for information technology (IT) like artificial intelligence (AI) and information security. Korea is serving as the inaugural JTC3 Chair since this February and is now holding the first Plenary in Seoul.   The Inaugural Plenary saw the gathering of representatives from various affiliations, including companies like IBM, Microsoft, LG Electronics, and Huawei, research institutes like the UK’s National Physical Laboratory (NPL) and the U.S.’ National Institute of Standards Technology (NIST), as well as government authorities like Japan’s Ministry of Economy, Trade, and Industry (METI) and China’s Ministry of Industry and Information Technology (MIIT).   Over the three-day period, experts will discuss standards development in quantum computing, quantum sensing, basic terminology, and quantum technology classification. The second day will proceed with an international symposium, where countries can share standards strategies and their respective quantum technology development progresses. date2024-05-28

Korea and New Zealand hold 6th FTA Joint Committee meeting

Director General for FTA Policy Ahn Chang-yong led the Korean delegation in the sixth Korea-New Zealand Free Trade Agreement (FTA) Joint Committee meeting held on May 28 in Seoul, breaking the four-year hiatus since the fifth meeting in 2020. His counterpart Greg Andrews from the Ministry of Foreign Affairs and Trade (MFAT) headed the New Zealand delegation.   Now in its 10th year of implementation, the Korea-New Zealand FTA has both markets offering high levels of openness and contributing substantially to the expansion in bilateral trade, which soared 84.8 percent to USD 4.6 billion in 2023 from the $2.5 billion in 2015, the year the FTA entered into force.   The sixth joint committee meeting covered FTA outcomes, measures for enhancing exporters and importers’ convenience, and joint projects in conjunction with FTA among other various issues of interest.   Director General Ahn stated that, as participants of not only the FTA but also the Regional Comprehensive Economic Partnership (RCEP), Indo-Pacific Economic Framework for Prosperity (IPEF), and the Digital Economy Partnership Agreement (DEPA), both countries have agreed to actively cooperate in diffusing intraregional free trade and responding to the rise in trade protectionism. date2024-05-28

Korea and UAE hold Business & Investment Forum on margins of state visit

Minister for Trade Inkyo Cheong attended the Korea-UAE Business and Investment Forum on May 28, co-hosted by Korea’s Ministry of Trade, Industry and Energy (MOTIE) and the United Arab Emirates (UAE)’ Ministry of Economy and co-organized by Korea Chamber of Commerce and Industry (KCCI) and the UAE Embassy in Seoul, with aim to encourage both countries’ business leaders and their new partnerships.   Held on the occasion of the UAE President Sheikh Mohamed bin Zayed’s first state visit to Korea and attended by UAE Minister of State for Foreign Trade Thani bin Ahmed Al Zeyoudi, as well as 200 business leaders of both countries, this forum is significant in that it deepened the economic ties between the two countries through jointly seeking out new investment opportunities.   At the forum, Medytox (Korea) and Tecom Group (UAE) signed a letter of intent (LOI) on the establishment of a plant in UAE producing botulinum toxin, the world’s first and only non-animal liquid toxin drug. The two sides have previously entered an MOU during President Yoon Suk Yeol’s state visit to UAE in January 2023.   In his congratulatory address, Korea’s trade chief mentioned that the 100-fold increase in bilateral trade (from USD 0.2 billion in 1980 to $20.8 billion in 2023) and their advancement towards a special strategic partnership are all outcomes of hard work made by the two countries’ entrepreneurs and expressed anticipation for the forum to further strengthen the Korea-UAE economic cooperation network. date2024-05-28