Ministry of Trade, Industry and Energy

Minister Ahn chairs textile and fashion industry conference

Trade, Industry and Energy Minister Dukgeun Ahn chaired a conference on August 13 at the Textile Center in Seoul with Korea’s textile and fashion companies and relevant experts, where he announced the Textile and Fashion Industry Competitiveness Strategy and discussed industry issues and future directions.   Attending the conference were representatives of relevant institutions, academia, and companies, including the Korea Federation of Textile Industries (KOFOTI), Hyosung TNC, and Kolon Industries. date2024-08-13

Korea’s textile and fashion industry eyeing new growth via strategy tailored to build global competitiveness

Trade, Industry and Energy Minister Dukgeun Ahn held a conference on August 13 at the Textile Center in Seoul with Korea’s textile and fashion companies and relevant experts, where he announced the Textile and Fashion Industry Competitiveness Strategy (“Strategy”) and discussed industry issues and future directions. The Strategy was established with aim to effectively respond to the following industry trends: the rapid growth of the industrial textile market, the accelerating demand for eco-friendly transition led by advanced countries, and the diffusion of the digital transformation (DX) across all areas, including product planning, production, and logistics. The Ministry of Trade, Industry and Energy (MOTIE) is focused on leveraging the Strategy to nurture advanced industrial textiles, facilitate the eco-friendly transition of the textile and fashion value chain, diffuse the application of artificial intelligence (AI) and digital technology, and bolster the textile and fashion industrial base. The objective is to help the domestic industry overcome production contractions as latecomer countries are gaining ground and by 2030, expand the current 2-3 percent global market share of industrial and eco-friendly textiles to 10 percent and raise the level of digital transformation from the current 35 percent to 60 percent, to develop Korea into a textile and fashion powerhouse. First up, MOTIE is aiming to upgrade the textile and fashion industry by nurturing the advanced industrial textiles sector. To this end, the ministry plans to prioritize the development of key technologies in advanced industrial textiles to world-class level by 2030, including high-performance aramids, high-strength carbon fibers, extreme-condition resistant marine fibers, import-dependent advanced eco-friendly textiles, and next-generation electronic communication textiles. Moreover, starting in the latter half of this year, an Industrial Textile Alliance will be launched to uncover promising products and technologies, while a Tech Textile Product Certification Evaluation Support Center will be established next year to assist the credibility verification on industrial textile quality and performance. Meanwhile, a KRW 2.9 trillion policy funding will be used this year for supporting the technical consulting and facility investment efforts of apparel companies that incorporate industrial textiles in their product portfolio. Second, MOTIE will assist the eco-friendly transition of the textile and fashion industry value chain, for which the ministry aims to secure technologies on fiber-to-fiber textile recycling, plant-based vegan leather and such biomass fibers, and biodegradable (at least 90 percent) fiber manufacturing by 2030. Not only that, but ₩31 billion will be injected into developing technologies for waterless dyeing, wastewater reduction, and improving energy efficiency to support the green and low-carbon transition of textile production processes, and also go towards providing waste heat recovery facility to more than 200 SMEs by 2026. Furthermore, the ministry plans to establish and distribute the “Carbon Emissions Measurement Standardization Model” by 2026 and introduce the K-Eco Design Guidelines in 2025 (to enforce in 2027) to promote the recycling and use of eco-friendly materials in textile and apparel manufacturing. Third, MOTIE aims to accelerate the application of AI technology and digital transformation. By 2026, the ministry intends to develop an AI system for harnessing data and AI in new product planning that would shorten the design period by over 80 percent, while also laying the initial groundwork this year for a Connected Micro Factory that would enable high-speed production based on business collaborations. Automation facilities will be supplied to over 250 companies by 2028 for processes that are repetitive and in severe lack of manpower. Two more Meta Fashion Playgroun date2024-08-13

19th International Standards Olympiad opening ceremony

Korea Agency for Technology and Standards (KATS) President Jin Jong-wook attended the opening ceremony of the 19th International Standards Olympiad on August 12 in Asan, Cheonan, with the participation of a total of 200 students and teachers from Korea and 10 other countries—China, Indonesia, Japan, Kenya, Malaysia, Peru, Russia, Saudi Arabia, Singapore, and Uzbekistan. date2024-08-12

Budding standards talent gather in Asan to compete at 19th International Standards Olympiad

The Korean Agency for Technology and Standards (KATS) under the Ministry of Trade, Industry and Energy (MOTIE) is hosting the main competition of the 19th International Standards Olympiad on August 12 in Asan, Cheonan, with the participation of a total of 200 students and teachers from Korea and 10 other countries—China, Indonesia, Japan, Kenya, Malaysia, Peru, Russia, Saudi Arabia, Singapore, and Uzbekistan. Launched in 2006, the 19th International Standards Olympiad is organized by the Korean Standards Association (KSA) and sponsored by organizations including the International Organization for Standardization (ISO) and the International Electrotechnical Commission (IEC). The global event has drawn a record number of participating countries this year, with the addition of Saudi Arabia and Uzbekistan. Forty teams that passed the preliminary rounds (20 middle school teams, 20 high school teams) are taking part in the main competition, with the number of teams from overseas (22) surpassing that of Korean teams (18) for the first time in competition history. Kicking off with an opening ceremony, the 19th International Standards Olympiad will proceed through August 12-14. Teams will compete against each other in assignments on international standard documents and presentations, followed by an awards ceremony and a closing ceremony. Results for each team are to be judged by ISO and IEC representatives and other standards experts. Participating students will also engage in various fun programs like standards related games and quiz shows, as well as cultural exchanges showcasing each country’s traditional dance.   date2024-08-12

MOTIE and MOJ to jointly launch pilot project for deploying foreign manpower in transmission line engineering

The Ministry of Trade, Industry and Energy (MOTIE) and the Ministry of Justice (MOJ), on August 12, announced the plan to create an occupation for transmission line electrical engineers, allowing the deployment of foreign workers with the E-7 visa* in domestic electrical power transmission line installation work to address current manpower shortage issues.  * E-7 (Particular Occupation) Visa: Eligible applicants for this working visa are people who have contracts with public or private Korean organizations to work in areas specially designated by the Minister of Justice. Professionally trained manpower for the installation of transmission lines is crucial for expanding Korea’s nuclear and renewable energy transport network, such as the establishment of semiconductor clusters and distribution of electric vehicles (EVs), to meet the rapidly rising demand for electrical power. However, securing new manpower for these tasks is challenging due to safety risks and poor working conditions. Accordingly, based on cooperation with relevant institutions like the Korea Electric Power Corporation (KEPCO) and industry opinions, MOTIE and MOJ have established a plan to operate a pilot project that allows the two-year deployment of up to 300 foreign workers with E-7 visas. Alongside the introduction of foreign workers, Korea’s electrical power industry also plans to expand vocational training for homegrown electrical engineers in transmission line installation and give preferential treatment to bidders with track records of domestic manpower training and employment. Moreover, the industry will promote the hiring of local youth as safety management workforce across transmission line construction sites. Throughout the pilot project period, MOTIE and MOJ intend to jointly monitor the process of foreign manpower selection and management, employment of homegrown talent, and implementation of measures for the prevention of illegal residence with aim to help stabilize the new system, while also protecting the employment of Korean nationals.   date2024-08-12

Korea to train overseas shipbuilding talent for deployment at K-shipyards

The Ministry of Trade, Industry and Energy (MOTIE) announced that it is opening an Overseas Shipbuilding Manpower Center in Serang, Indonesia, on August 5 to locally train skilled shipbuilding talent through Korean language and technology education in order to employ the educated manpower at Korean shipyards. Initially suggested in March as part of the MOTIE-led K-Shipbuilding Next-Generation Initiative, the proposed measure has culminated into the aforesaid program over five months of consultation between Korea offshore & Shipbuilding Association (KOSHIPA) and Indonesia’s Ministry of Manpower. Korea’s shipbuilding industry is presently riding the waves of opportunity towards new growth, having secured 39.1 million compensated gross tonnage (CGT) worth of orders (as of August 2) and improving the nation’s industrial constitution and management conditions by winning high value-added ship projects. However, the long-term recession and ensuing manpower leakage are acting as headwind to the industry. Accordingly, the Government added 16,000 workers to the production manpower last year by improving the visa and training system, but the industry expects that demand for quality foreign workers will continue for some time. The Overseas Shipbuilding Manpower Center was launched for the purpose of teaching local workers the Korean language and shipbuilding technology for preliminary site execution to enable seamless deployment without retraining in Korea, as well as establishing a stable workforce supply channel and bolstering industrial cooperation between the two countries. Over a three-month period, the first batch of 30-40 trainees will be learning the welding techniques required across Korean shipyards, then apply for the welder qualification and certification program. Meanwhile, they will also study to take the Test of Proficiency in Korean (TOPIK) and be given safety education courses for the prevention of safety accidents. In this process, the Indonesian government is to recruit and educate the trainees and KOSHIPA is to dispatch experts and assist with testing. The Government aims to leverage this pilot project to address areas that need improvement and increase the number of trainees to strengthen the Overseas Shipbuilding Manpower Center’s role, while also establishing additional manpower training centers in other countries. Further plans include institutional support measures, such as streamlining visa procedures and tying in with official development assistance (ODA) via cross-ministerial consultations.   date2024-08-05

Korea’s retail industry grows 10.5% in H1 2024

The Ministry of Trade, Industry and Energy (MOTIE) announced on July 30 that Korea’s retail industry grew 10.5 percent year-on-year in the first half (H1) of 2024, with offline and online sales advancing 3.4 percent and 17.5 percent, respectively. During H1, offline retail sales steadily expanded across close-proximity convenience stores (up 5.2 percent) and super supermarket (SSM) operators (up 5.6 percent). Sales at hypermarkets (up 0.7 percent) and department stores (up 3.1 percent) likewise increased.  Online retail sales for H1 soared on the backs of various discount promotions and wider range of deliverable items, coupled with the routinization of online purchases for travel, performances, and food products. 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. For the month of June, Korea’s retail industry jumped 11.1 percent year-on-year, with offline and online sales climbing 3.7 percent and 18.4 percent, respectively. The growth is attributed to a higher number of holidays during the month (+2), stronger demand for eating in and buying in smaller quantities within one’s neighborhood. Factors driving online sales include demand for seasonal home appliances and instant/processed food products. By offline retail channel, hypermarket sales rose 2.1 percent in June as sales of food products (up 4.3 percent) and clothing (up 5.2 percent) improved, while those of home appliances/culture (down 3.3 percent) and sports (down 11.9 percent) dropped. Department store sales surged 5 percent overall as foreign designer labels (up 2.3 percent) and household goods (up 14.9 percent) increased, while women’s suits (down 2.6 percent) and men’s clothing (down 0.9 percent) shrank. Convenience stores (up 3.8 percent) enjoyed sales growth across all items, led by beverages/processed food products (up 5.7 percent), instant food products (up 1.7 percent), and tobacco/other (up 2.0 percent). SSM operators showed an uptick of 2.0 percent overall in spite of the fall of nonfood categories (down 3.8 percent), as sales of agriculture, fishery, and livestock products (up 3.3 percent) and processed food products (up 2.1 percent) increased. Online sales spiked 18.4 percent overall, led by strong demand for air conditioners and other seasonal home appliances/electronic devices (up 10.4 percent) amid the early heat wave. Sales of services/other (up 67.5 percent) drove online sales as well, thanks to the continued growth of food products (up 20.1 percent) amid high inflation and high demand for home-cooked meals, fueled by free delivery and e-coupon discounts. Meanwhile, fashion/clothing (down 10.4 percent) and sports (down 8.7 percent) experienced slower sales.   date2024-07-30

Korea’s future talent for advanced technology to take part in Korea-U.S. youth exchange initiative

The Ministry of Trade, Industry and Energy (MOTIE) announced on July 29 its plans for the second-round selection of students for a Korea-U.S. youth exchange support program. The program is part of implementing the “KorUS Educational Exchange Initiative for Youth in STEM” in accordance with the bilateral summit outcomes reached in April 2023.  The “KorUS Educational Exchange Initiative for Youth in STEM” is a USD 30 million grant initiative (2024–2027) launched to support the large-scale exchange between 2,023 Korean students and 2,023 U.S. students in commemoration of last year marking the two countries’ 70th anniversary of the establishment of diplomatic relations. For eligible Korean students majoring in natural sciences and engineering, the program will provide them the opportunity to study at U.S. universities and experience the U.S.’ high-tech industries and advanced technologies via field trips and webinars. MOTIE selected 222 Korean students in the first half of this year for the program’s first-round scholarship and will select another 118 eligible students in the second half for the second-round scholarship for next year’s spring semester exchange. Further information is available at universities’ offices for international affairs and on Korea Institute for Advancement of Technology (KIAT)’s website (www.kiat.or.kr).   date2024-07-29

Minister Ahn meets Czech Minister of Industry and Trade

Trade, Industry and Energy Minister Dukgeun Ahn met with Czech Minister of Industry and Trade Jozef Síkela on July 24 in Prague on the occasion of his visit as special presidential envoy and expressed appreciation over the selection of KHNP as preferred bidder for the Czech Republic’s nuclear reactor project and discussed measures for bilateral energy, economic, and industrial cooperation. date2024-07-26

Korea’s Nuclear Exports Strategy Committee consolidates follow-up efforts to Czech PJT, building further export momentum

Trade, Industry and Energy Vice Minister Namho Choe chaired the fifth Nuclear Exports Strategy Committee (“Committee”) meeting on July 25 in Seoul with the participation of Committee members composed of representatives from related ministries, companies, trade organizations, academia, and legal experts. The Committee assessed that the Czech Republic’s selection of Korea Hydro Nuclear Power (KHNP) as the preferred bidder for its new reactor project is a culmination of the Korean government’s nuclear industry normalization policy and strong “sales diplomacy” that gained the client country’s trust, combined with joint efforts of KHNP, contractors, academia and research institutions, ministries, and support organizations. Based on the recent outcome, the Committee reviewed the following project tasks for nurturing the nuclear energy sector into Korea’s anchor exporting industry. The Committee’s first aim is to fully back the follow-up measures regarding the new Czech reactor project to ensure the final contract is inked without setback by March 2025. Upon the preferred bidder announcement, Korea launched a task force (TF) on July 22 exclusively for project negotiations and held a kickoff meeting with the client company on July 24. With public and private sectors fully committed to creating mutually beneficial outcomes for both countries, authorities also opened a new bilateral hotline for close communication and negotiation support. Second, the Committee plans to make swift progress in consultations with promising export destinations to further expand Korea’s scope of nuclear exports, while also nurturing a favorable environment in the mid-to-long term through talent training and joint site investigations in emerging Asian and African countries that are currently mulling the prospects of nuclear new build projects. Moreover, upcoming international events to be hosted by Korea, such as the World Climate Industry EXPO (September 2024) and the Asia-Pacific Economic Cooperation (APEC) Summit (November 2025), will serve as great opportunities for promoting Korea’s nuclear power plants, in conjunction with international exhibitions, trade shows, and special delegations. Third, the Committee plans to back not only nuclear new builds but also power plant equipment exports. Within 20 months under the Yoon administration, Korea’s nuclear equipment export contracts surpassed KRW 4 trillion, six-fold the amount accumulated over the past five years. Building on this momentum, the Government is aiming to clinch additional large-scale project orders to reach this year’s ₩5 trillion nuclear equipment export target. Gaining traction from the Czech project win, stronger support will go towards backing middle-market companies and SMEs’ European market entry with plans for heavy marketing scheduled for the second half via the World Nuclear Symposium 2024 and Enlit Europe 2024. Fourth, the Committee will lay out a mid-to-long term nuclear export vision and reorganize the support system to establish a strong foundation for Korea’s nuclear industry to grow into a global powerhouse through the “Mid-to-Long Term Nuclear Industry Roadmap 2050,” which will be announced by the end of this year, along with legal procedures to assist the nuclear industry in tandem with the National Assembly during this second half. The support system will branch out via overseas missions, Korea Trade-Investment Promotion Agency (KOTRA)’s Global Business Platforms, and reinforced nuclear sales diplomacy. Added efforts will be made to build comprehensive cooperative relations with major partner countries in joint entry, supply chains, and small modular reactors (SMRs).   date2024-07-25