Ministry of Trade, Industry and Energy

K-Grid Export Alliance kicks into high gear, eyeing global power grid market

Deputy Minister for Energy Policy Lee Ho-hyeon at the Ministry of Trade, Industry and Energy (MOTIE) of the Republic of Korea chaired the K-Grid Export Alliance (“Alliance”) kickoff meeting today at the Korea Trade Insurance Corporation (K-SURE) in Seoul, the first general meeting for the Alliance since its launch in December 2024, to seek new opportunities for homegrown businesses in the global power infrastructure market. Since MOTIE announced its global power grid market strategy in December, the ministry has been consulting with related export supporting institutions to concretize measures for boosting exports in 2025.  First, K-SURE plans to continue providing short-term preferential loans (up to double in limit) and insurance premium discounts (up to 20 percent) to transformer and power cable exporting businesses this year, while expanding the range of relevant export items to include energy storage systems (ESS).  Moreover, the overseas trade shows for power grids and related equipment that had previously been dispersed under the charge of different institutions will be integrated under the central management of MOTIE and the Korea Electric Association (KEA) to produce more tangible outcomes by streamlining the process of company recruitment, promotion, and performance management. Today’s meeting was attended by representatives of 15 companies and institutions, including Korea Electric Power Corporation (KEPCO), Korea Southern Power Co., Hyundai E&C, LS Electric, and KEA. They discussed export strategies in light of the newly emerging uncertainties as well as opportunities, such as the growing demand for artificial intelligence (AI) and datacenters, with an aim to propose a business model capable of meeting the complex needs of local overseas markets based on Korean companies’ expertise in EPC (engineering, procurement, construction) and manufacturing. Deputy Minister Lee stated that the global power grid market offers Korea’s power industry a vital opportunity for further growth, adding that public and private sectors will make joint effort to establish the industry as the country’s next new model for energy cooperation.   date2025-02-04

Korea’s Free Trade Zone exports log record highs in 2024

The Ministry of Trade, Industry and Energy (MOTIE) of the Republic of Korea announced today that annual exports from Korea’s Free Trade Zones (FTZs) in 2024 jumped 22.5 percent year-on-year to USD 14.9 billion, a historic high since the Masan FTZ designation in 1970, entering the $10 billion thresholds for the fourth consecutive year (2021–2024). In Korea, there are currently 13 areas designated and operating as FTZs, composed of seven industrial complex FTZs, one airport FTZ, and five port FTZs. By FTZ type, airport FTZ exports took the lead, taking up 85.2 percent of total FTZ exports in 2024 with $12.7 billion, followed by industrial complex FTZs ($2.1 billion) and port FTZs ($0.08 billion). Exports of industrial complex FTZs surpassed $2 billion for two straight years on the backs of strong global demand for Korean automobiles, ships, and related parts spurred by high value-added and green market trends. Airport FTZ exports soared 29.3 percent to $12.7 billion, thanks to the sharply climbing demand for high-performance semiconductors and high bandwidth memory chips as data processing capacity is emerging as a key element along with the development of artificial intelligence (AI) technology. By item, semiconductor exports took up 85.2 percent of entire FTZ exports, followed by electrical and electronic precision devices (6.4 percent) like car parts, mobile phone parts, and petrochemicals (1.9 percent) including petroleum resin. By region, China (64.3 percent) was the largest buyer of Korea’s FTZs in 2024, followed by other countries including Vietnam (8.8 percent), the U.S. (3.2 percent), and India (2.2 percent).   date2025-02-04

Trade Minister meets Japan's METI Vice Minister for International Affairs

Minister for Trade Inkyo Cheong met Vice Minister for International Affairs Matsuo Takehiko at Japan’s Ministry of Economy, Trade and Industry (METI) on January 24 in Switzerland on the margins of the 2025 Annual Meeting of the World Economic Forum (WEF) in Davos and discussed bilateral cooperation in supply chains and digital. date2025-02-03

Trade Minister meets WTO Director General

Minister for Trade Inkyo Cheong met WTO Director General Ngozi Okonjo-Iweala on January 24 in Switzerland on the margins of the 2025 Annual Meeting of the World Economic Forum (WEF) in Davos and discussed the WTO’s role amid the changing trade landscape and measures for cooperation regarding Korea’s APEC 2025 chairmanship. date2025-02-03

Trade Minister meets UK’s Secretary of State for Business and Trade

Minister for Trade Inkyo Cheong met UK’s Secretary of State for Business and Trade Jonathan Reynolds on January 23 in Switzerland on the margins of the 2025 Annual Meeting of the World Economic Forum (WEF) in Davos and discussed bilateral trade issues and economic cooperation. date2025-02-03

Trade Minister meets New Zealand’s Deputy Secretary for the Ministry of Foreign Affairs and Trade

Minister for Trade Inkyo Cheong met New Zealand’s Deputy Secretary for the Ministry of Foreign Affairs and Trade Vangelis Vitalis on January 23 in Switzerland on the margins of the 2025 Annual Meeting of the World Economic Forum (WEF) in Davos and discussed bilateral trade issues and economic cooperation. date2025-02-03

Korea’s exports fall 10.3% in January

The Ministry of Trade, Industry and Energy (MOTIE) of the Republic of Korea announced on February 1 that Korea’s exports for the month of January declined 10.3 percent year-on-year to USD 49.1 billion. Imports dropped 6.4 percent to $51.0 billion and the trade balance stood at a deficit of $1.9 billion. January exports were impacted by the long Seollal holidays (January 25–30) as the number of working days (20) decreased by four days compared to that of January 2024 (24), temporarily slowing down exports. The average daily export value, considering the impact from the lower number of working days, increased 7.7 percent to $2.5 billion, the second highest in history following the all-time high $2.5 billion of January 2022. The majority of items suffered from the reduced number of working days in January, but the average daily export value advanced for 10 items.  Semiconductors (up 8.1 percent to $10.1 billion) recorded their second highest exports for the month of January, maintaining the upward trajectory for the 15th consecutive month and entering the $10 billion thresholds for the ninth consecutive month. Computer exports posted double-digit growth (up 14.8 percent to $0.8 billion), growing for the 13th consecutive month. Exports of automobiles (down 19.6 percent to $5.0 billion) and car parts (down 17.2 percent to $1.6 billion) were more heavily affected in comparison to other industries, owing to automakers’ relatively longer Seollal holiday period (January 25–31). For petroleum products (down 29.8 percent to $3.4 billion), fires at major production facilities in December 2024 were a cause for setback in shipments, fueled by the fall in international petroleum product prices in comparison with those of January 2024. Exports to most destinations declined, the drop in China-bound exports (down 14.1 percent to $9.2 billion) attributed to the Spring Festival holidays (January 28–February 4). Exports to the U.S. also sank 9.4 percent to $9.3 billion as those of automobiles and general machinery contracted. Exports to ASEAN (down 2.1 percent to $8.6 billion) inched down but those to Vietnam (up 4.0 percent to $4.4 billion) showed strong growth on the backs of semiconductor exports, rising for the 13th consecutive month.   date2025-02-03

CES 2025 Innovation Forum

Minister for Trade, Industry and Energy Dukgeun Ahn of the Republic of Korea attended the CES 2025 Innovation Forum on January 23 at COEX in Seoul. The event was attended by approximately 150 persons composed of representatives of CES innovation awards winning companies and related institutions including KOTRA. date2025-02-03

Trade Minister meets European Commission Executive Vice-President

Minister for Trade Inkyo Cheong met European Commission Executive Vice-President Maroš Šefčovič on January 23 in Switzerland on the margins of the 2025 Annual Meeting of the World Economic Forum (WEF) in Davos and discussed global trade and economic security issues. date2025-02-03

Trade Minister meets Bahrain’s Minister of Industry and Commerce

Minister for Trade Inkyo Cheong met Bahrain’s Minister of Industry and Commerce Abdulla bin Adel Fakhro on January 23 in Switzerland on the margins of the 2025 Annual Meeting of the World Economic Forum (WEF) in Davos and discussed measures for bilateral economic cooperation. date2025-02-03