Ministry of Trade, Industry and Energy

MOTIE launches AI Industrial Policy Committee, laying out roadmap for AI era

Trade, Industry and Energy Minister Dukgeun Ahn attended the ceremony on May 8 inaugurating the “AI Industrial Policy Committee,” launched to take on industrial policies for the artificial intelligence (AI) era. Attending the event were National Academy of Engineering of Korea (NAEK) President Kim Kinam and other AI experts in business, academia, and related institutions.   Based on the forecast that AI will serve as a gamechanger across industries, MOTIE launched the Committee with aim to generate meaningful forecast for industrial shifts and sort out policy tasks for AI-based industrial innovation. Over the next six months, the Committee will focus on establishing the new industrial policies for the AI era through joint efforts of 200 industrial, academia, and research experts. The Committee’s private-led working group will be composed of four parts, namely AI technology development forecast, future industry changes, standards, and policy proposals.   In parallel, the Committee will be establishing strategies for six major areas (autonomous manufacturing, design, R&D, energy, retail, AI chips) on a monthly basis, led by MOTIE. New legal frameworks for AI’s industrial utilization will be designed as well.   On the heels of the inauguration ceremony, MOTIE announced the “AI Autonomous Manufacturing Strategy 1.0” as part of the first task project of the six major areas. Under the strategy, this year alone will see over KRW 100 billion poured into the following: diffusion of AI autonomous manufacturing; securing AI autonomous manufacturing capacity; and the nurturing of a relevant ecosystem. Through these measures, MOTIE is targeting to achieve, by 2030 a 30 percent growth in AI autonomous manufacturing diffusion (9 percent at present) and a 20 percent jump in manufacturing productivity.   First, MOTIE will push forward 200 anchor projects on AI autonomous manufacturing with aim to upgrade the degree of digital transition across manufacturing sites. Accordingly, MOTIE will be supporting the establishment of software, robots, and systems after a thorough assessment of AI application prospects and effectiveness based on a detailed process analysis. This year, 10 priority projects will be selected through local authorities’ open call for 10 billion won in funding.   MOTIE will also be establishing an AI autonomous manufacturing testbed for robotics and software that companies can utilize in establishing their own AI autonomous manufacturing systems. To note, 200 billion won will go towards nurturing a national robot testbed project (2024–2028).   Second, over one trillion won will be secured in private investment to be spread over a five-year period for obtaining core technologies and capacity required for AI autonomous manufacturing, mainly concentrating on the process automation of key manufacturing sectors like machinery, robots, shipbuilding, secondary batteries, and semiconductors, as well as on virtual manufacturing and flexible production, such as digital twins.   In addition, active support will go towards nurturing an AI autonomous manufacturing-friendly industrial ecosystem, 13,000 professional talents, and over 250 firms specializing in AI autonomous manufacturing solutions. A public-private “AI Autonomous Manufacturing Alliance” will be launched in the first half of this year through participation of ministries, research institutions, associations, companies and relevant groups for sharing and utilization of industrial data and the improvement of relevant laws and systems. date2024-05-08

Minister discusses support measures for reshored companies

Trade, Industry and Energy Minister Dukgeun Ahn held a meeting with reshored companies on May 7 at the Government Complex Sejong, where he announced the ministry’s “Reshoring Company Support Strategy 2.0” and discussed success cases and support measures.   The meeting was attended by representatives of reshored companies and relevant organizations, including Simmtech, Derkwoo, and Korea Trade-Investment Promotion Agency (KOTRA). date2024-05-07

Government and refineries to join hands for stabilizing domestic oil prices

Amid rising geopolitical tensions in the Middle East, Trade, Industry and Energy Minister Dukgeun Ahn convened a meeting on May 3 with representatives of refineries, thrift gas station operators, and the Korea National Oil Corporation (KNOC) to discuss measures for stabilizing domestic oil prices.   Minister Ahn remarked that despite the April tailwind of reduced prices and increased exports, the general public is still experiencing financial difficulties. Refinery industry representatives shared the view that public livelihood is in difficulty and agreed to raise the petroleum product supply prices by a minimum, while minimizing price hikes. Thrift gas stations agreed to join in on efforts to lower the sale price of petroleum products to help mitigate the public’s financial burdens.   With aim to crack down on market actors attempting to make illicit gains by taking advantage of high oil prices, the Ministry of Trade, Industry and Energy (MOTIE) jointly launched the “Pan-Ministerial Petroleum Market Inspection Group” in October 2023 with the Ministry of Economy and Finance (MOEF), Ministry of Land, Infrastructure and Transport (MOLIT), Korea Fair Trade Commission (KFTC), National Tax Service (NTS) and other organizations.   The thrift gas stations run by KNOC currently sell oil priced at an average of KRW 40 per liter lower compared to other gas stations nationwide. An additional 40 gas stations are to be further designated as thrift gas stations around the capital area and major cities. date2024-05-03

Vice Minister visits Hanwha Aerospace Daejeon Plant

Trade, Industry and Energy Vice Minister Kang Kyungsung led the Defense Exports Task Force in his meeting with Hanwha Aerospace CEO Son Jae-il on April 30 at the company’s Daejeon plant and discussed recent exports outcomes.   The Vice Minister received a briefing on company management and issues from CEO Son and exchanged views regarding measures for expanding defense exports and developing the arms industry prior to touring the production facilities and encouraging employees.   The Defense Exports Task Force is composed of representatives from the Ministry of Trade, Industry and Energy (MOTIE), Korea Defense Industry Trade Support Center (KODITS), K-SURE, and Korea Planning & Evaluation Institute of Industrial Technology (KEIT). date2024-04-30

Korea's Defense Exports Task Force launched into high gear

Trade, Industry and Energy Vice Minister Kang Kyungsung led the Defense Exports Task Force in his meeting with Hanwha Aerospace CEO Son Jae-il on April 30 at the company’s Daejeon plant and discussed recent exports outcomes.   Launched as a follow-up measure to the Defense Industry Ecosystem Competitiveness Strategy announced on April 17, the Defense Exports Task Force is composed of representatives from the Ministry of Trade, Industry and Energy (MOTIE), Korea Defense Industry Trade Support Center (KODITS), K-SURE, and Korea Planning & Evaluation Institute of Industrial Technology (KEIT).   Hanwha Aerospace representatives shared their status quo on arms exports, including the executive contract with the Polish Armaments Agency on supplying an additional fleet of Chunmoo Multiple Rocket Launcher Systems (MRLS) amounting to USD 1.6 billion, and requested policy funding for export contract implementation, designation of advanced aircraft engine materials and parts as national high-tech strategic technology, and government assistance on R&D of arms systems for export.   Vice Minister Kang explained that as announced in April, MOTIE plans to strengthen support through the Defense Industry Ecosystem Competitiveness Strategy by securing advanced critical technologies in arms materials, parts, and equipment (KRW 400 billion investment in 2024), expanding the scope of trade insurance and policy funding (10 trillion won), and establishing a tailored defense exports strategy (June 2024). date2024-04-30

Korea's retail industry grows 10.9% in March

The Ministry of Trade, Industry and Energy (MOTIE) announced on April 29 that Korea’s retail industry grew 10.9 percent year-on-year in March 2024, with offline and online sales advancing 6.0 percent and 15.7 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 rose across all major items on the backs of higher number of working days (+2) and increased sales of food, living/household goods, and foreign designer labels. Online sales saw enlarged demand for spring outings, performance reservations, and food deliveries alongside steady sales of convenience foods and e-coupons.   The number of purchases increased 0.5 percent overall, rising for department stores, hypermarkets, and SSMs, thanks to the added number of working days (+2), but decreased for convenience stores (down 0.2 percent), a first in 25 months.   Hypermarket sales increased 6.2 percent, attributable to the growth of food product sales (up 10.7 percent). Non-food items declined, including sports (down 7.9 percent), miscellaneous goods (down 3.7 percent), clothing (down 3.6 percent), and home appliances/culture (down 2.4 percent).   Department store sales increased 8.9 percent overall, as women’s suits showed a 1.2 percent downtick, but household goods (up 15.3 percent), foreign designer labels (up 13.9 percent), and miscellaneous goods (up 5.4 percent) advanced.   Convenience (up 3.0 percent) stores saw all items grow in sales, led by daily necessities (up 7.7 percent) and miscellaneous goods (up 9.3 percent), followed by strong demand for cost-effective food products like beverages and processed food products (up 4.1 percent) and instant food products (up 1.7 percent).   SSM operators gained 5.1 percent overall as most items enjoyed growth, including agricultural, livestock, and fishery products (up 9.6 percent), processed food products (up 3.9 percent), and fresh/prepared food products (up 1.8 percent).   In terms of sales per store, hypermarkets (up 7.9 percent), department stores (up 8.9 percent), and SSM operators (up 1.1 percent) gained, whereas those of convenience stores dipped (down 0.9 percent).   Online sales decreased in fashion/clothing (down 13.0 percent) and sports (down 3.7 percent), while books/stationery (up 24.1 percent), food products (up 28.9 percent), and service/other (up 37.5 percent) climbed sharply. date2024-04-30

Minister meets Saudi Industry and Mineral Resources Minister

Trade, Industry and Energy Minister Dukgeun Ahn met with Saudi Industry and Mineral Resources Minister Bandar bin Ibrahim AlKhorayef on April 28 (local time) in Riyadh on the occasion of attending the World Economic Forum (WEF)’s Special Meeting on Global Collaboration, Growth and Energy for Development and discussed measures for cooperation in industries, minerals and plant bid projects. date2024-04-30

Minister meets Czech Industry and Trade Minister

Trade, Industry and Energy Minister Dukgeun Ahn met with Czech Industry and Trade Minister Jozef Sikela on April 25 in the Czech Republic and discussed cooperation in trade, investment, nuclear, R&D, and infrastructure. date2024-04-26

Korea discusses stronger bilateral industrial cooperation with the Netherlands and Poland

Deputy Minister for Trade Yang Byeong-nae met with the Netherlands’ Infrastructure and Water Management Vice Minister Kees Van der Burg on April 25 in Seoul and discussed measures for strengthening bilateral cooperation in mobility, battery, and supply chains.   The two sides assessed that follow-up implementation to the MOUs signed on the occasion of the bilateral summit in December 2023 for cooperation in semiconductors, supply chains, and carbon-free energy is making smooth progress, and agreed to expand the scope of cooperation to other new advanced industries like EVs, hydrogen cars and battery.   Underscoring that their bilateral cooperation in advanced industries contributes to stabilizing the global supply chain, Deputy Trade Minister Yang asked for the Netherlands’ cooperation concerning the EU’s Critical Raw Materials Act and Battery Regulation to prevent them posing administrative burden on or discriminating external suppliers, thereby impacting Korea-Netherlands trade and investment as well.   He then met with Poland’s Economic Development and Technology Deputy Minister Jacek Tomczak and discussed measures for bolstering cooperation in trade, investment, industrial technology, and clean energy. Noting the all-time high Korea-Poland trade of USD 10.1 billion last year and recently increasing bilateral cooperation in battery, nuclear, and defense, Deputy Trade Minister Yang suggested that they build on this momentum to expand the scope of bilateral trade and investment even wider.   He also requested Poland’s interest and participation in the Carbon Free Energy (CFE) Initiative in view of the two countries’ expanding industrial technology collaboration through Eureka and joint research in nuclear and energy technologies. date2024-04-26

Vice Minister attends unveiling ceremony marking 50th anniversary of Changwon National Industrial Complex

Trade, Industry and Energy Vice Minister Kang Kyungsung attended the opening ceremony for unveiling the symbolic sculpture and stone sign engraved with President Yoon Suk Yeol’s writing marking the 50th anniversary of the designation of Changwon National Industrial Complex on April 24 at the Korea Industrial Complex Corporation in the attendance of 400 representatives of tenant businesses and South Gyeongsang Province Governor Park Wan-su. date2024-04-25