Ministry of Trade, Industry and Energy

Trade Minister meets U.S. Embassy Chargé d'Affaires ad interim

Korea’s Minister for Trade Yeo Han-koo met with Ambassador Joseph Yun, Chargé d'Affaires ad interim at the United States Mission in Korea, on June 18 in Seoul to discuss Korea-U.S. trade issues. date2025-06-19

Korea set to localize 30% of CNC systems by 2032

The Ministry of Trade, Industry and Energy (MOTIE) announced today that Korean company KCNC succeeded in localizing computerized numerical control (CNC) systems, which play an instrumental role in processing the majority of Korea’s machinery and equipment.  CNC refers to the use of computerized systems to control the manufacturing process of high-precision parts such as cutting, milling, and pressing, and is mainly used in integration with manufacturing equipment for producing machinery. While CNC is a key part of the machine industry, the high level of difficulty required to develop such systems has resulted in 80 percent of the global CNC market being split among Germany, Japan, and the U.S. With KCNC’s successful development of a CNC system, related industries are anticipating a localization rate of at least 30 percent by 2032. It was in 2019 that plans for CNC development began emerging in earnest in Korea, a time when materials, parts, and equipment (MPE) supply chains started gaining recognition for their importance. The plans were also triggered by the apprehension that setbacks in CNC supply, the entirety of which Korea was dependent on imports, may halt production lines nationwide for the manufacturing industry. CNC development by individual companies comes with limitations as the process calls for the simultaneous development of various hardware and software technologies, including those needed to produce the main body, motor, and interface. Accordingly, MOTIE launched a project team led by the Korea Institute of Machinery & Materials with the participation of over 20 related companies, research institutes, and academic experts. As a result, KCNC was born in the form of a joint venture by participating companies for collaboration on technological development and commercialization. After five years of development, field operators and experts finally conducted an objective evaluation last month in which they assessed that the CNC system developed has reached a level of performance similar to that of other advanced countries’ CNC systems in terms of major performance indices, such as machining error and surface quality. Meanwhile, there still exists room for improvement with respect to features like interface user friendliness and availability of different functions. Korea currently relies on imports for 95 percent of its CNC supply and even the remaining five percent of domestic products require foreign technology. In this regard, the recent CNC system development is expected to substantially stabilize Korea’s manufacturing supply chains and spur significant economic benefits. It is estimated that localizing 30 percent of domestic and overseas CNC demand will create an economic effect of around KRW 200 billion, equivalent to approximately USD 146 million. Swift after-sales service and customized product development are some added merits of localization. Starting next month, KCNC will enter a one-year demonstration phase for commercialization to conduct tests on high-speed and repeated procedures, processing with various materials and tools, equipment durability, and field performance. Four major buyer companies, occupying over 90 percent of CNC systems demand, are to participate in the demonstration process. These companies have already submitted letters of intent for purchase to finalize their purchase agreements should demonstration results verify that the developed CNC systems fulfill certain qualifications. Once the demonstration phase is completed successfully, the localized CNC systems will be up for purchase beginning 2026, with relevant industries forecasting that the systems will reach over 30 percent in domestic market share by 2032.   date2025-06-18

Eco-friendly auto sales surpass conventional cars in May

The Ministry of Trade, Industry and Energy (MOTIE) announced today that Korea’s domestic automobile sales for the month of May 2025 increased 0.4 percent year-on-year to 141,865 units.  Eco-friendly vehicles took up 52 percent of total domestic automobile sales, surpassing the sales of internal combustion engine cars for the first time. The number of Korean electric vehicles (EVs) sold in the domestic market also soared 58.8 percent, thanks to the wider array of consumer choices with the recent rollout of new models across different car segments. Monthly automobile exports reached $6.2 billion, entering the $6 billion thresholds for the fourth consecutive month and recording second highest in exports for May. Eco-friendly vehicle exports hit an all-time high of 75,184 units (up 10.2 percent), driven by solid demand for hybrid electric vehicles (HEVs). Meanwhile, domestic automobile production declined 3.7 percent to 358,969 units.   date2025-06-17

Korea and Netherlands launch Future Chips Academy 2025

The Ministry of Trade, Industry and Energy (MOTIE) and Korea Institute for Advancement of Technology (KIAT) are launching the Korea-Netherlands Future Chips Academy 2025 from June 16–20 in the Netherlands to boost bilateral exchanges in raising high-quality semiconductor talents. Now in its second year, the Future Chips Academy is a joint Korea-Netherlands education program based on the two countries’ semiconductor business cooperation offering a specialized course for the training of highly-skilled global talents in areas of cutting-edge chip technology. During this year’s exchanges, 50 students taking master’s and doctoral courses at semiconductor specialization graduate schools in Korea are visiting leading Dutch institutions and companies such as ASML, NXP Semiconductors, imec the Netherlands (IMEC), and Eindhoven University of Technology (TU/e) to take part in various programs, including lectures and a team project challenge. It is anticipated that these exchanges will help Korean chip talents enhance their understanding on advanced chip technology trends while also building up Korea’s semiconductor R&D capacity. This year’s Future Chips Academy includes an in-depth discussion session on the topic of future chips to seek relevant measures for bilateral R&D cooperation and education, as well as lectures at local companies given by experts on patterning technology and automotive chips. On the last day, the team project challenge will have students share what they have learned and propose creative ideas for semiconductor technology development. In the coming months of July and August 2025, Korea Advanced Institute of Science and Technology (KAIST) and the Korea Semiconductor Academy are slated to engage in exchange programs, respectively, with the Netherlands’ Eindhoven University of Technology and Delft University of Technology. In September, 30 top graduates of the Korea Semiconductor Academy will be given the opportunity to participate in a five-day education program in the Netherlands through which they can acquire practical knowledge in the field and broaden their scope of experience.   date2025-06-16

Korea’s ICT exports climb 9.6% in May

The Ministry of Trade, Industry and Energy (MOTIE) and the Ministry of Science and ICT (MSIT) announced today that Korea’s exports and imports of information and communications technology (ICT) goods for the month of May 2025 advanced 9.6 percent and 0.5 percent year-on-year, respectively, to USD 20.9 billion and $11.5 billion. The trade balance stood at a surplus of $9.4 billion. It is significant that ICT exports reached record highs for the month in spite of recent global trade uncertainties. By item, exports of semiconductors (up 21.2 percent), mobile phones (up 2.8 percent), computers/peripherals (up 1.7 percent), and communication devices (up 10.2 percent) achieved gains, whereas those of displays declined (down 17.5 percent). Semiconductor exports rose as fixed prices of major items like DRAMs and NAND flash rebounded and high value-added memory chips like HBMs and DDR5s retained strong growth momentum. Mobile phones expanded on the backs of demand for finished smartphone products and computers/peripherals increased in step with revived demand for solid-state drives (SSDs). Exports of communication devices were driven by rising demand for automotive communication systems in the U.S. and 5G equipment in India. In contrast, displays were negatively affected by trade uncertainties and sluggish global demand. By region, Korea’s May ICT exports increased to destinations like the U.S. (up 7.2 percent), Vietnam (up 15.7 percent), EU (up 1.5 percent), and Japan (up 12.5 percent), while those to China (including Hong Kong) (down 6.8 percent) contracted. Meanwhile, the uptick in ICT imports was led by items like computers/peripherals (up 37.4 percent), powered by AI-driven demand for datacenter GPUs (up 51.1 percent) as well as midrange and mainframe computers (up 130 percent).   date2025-06-12

Seoul International Forum on Trade Remedies 2025

Vice Minister Sungtaek Park attended the Seoul International Forum on Trade Remedies 2025 on June 10 at COEX in Seoul, held with the participation of 150 persons composed of representatives and experts of trade remedies institutions from 11 economies around the world, including the U.S., EU, China, and Japan, as well as the WTO. Vice Minister Park gave a congratulatory message, stating that in view of the increasing trade uncertainties, it is time that the international community join efforts for wisdom and cooperation. He also expressed hopes that the Seoul Forum will continue to serve as a platform facilitating international cooperation by catalyzing the development of global trade remedies systems. date2025-06-11

Seoul Food 2025 takes off at KINTEX

Deputy Minister for International Trade and Investment Park Jung-sung attended Seoul Food 2025 on June 10 at KINTEX in Ilsan, held with the participation of 1,639 food companies from 45 countries and gave a congratulatory address and toured the major booths with KOTRA President Kang Kyung-sung and KINTEX President Lee Jae-yul. date2025-06-11

Korea Trade Commission holds Seoul International Forum on Trade Remedies 2025

The Korea Trade Commission (KTC) under the Ministry of Trade, Industry and Energy (MOTIE) held the Seoul International Forum on Trade Remedies 2025 (“Seoul Forum 2025”) today at COEX in Seoul. Now in its 23rd year since the initial launch in 2001, Seoul Forum is the world’s exclusive international forum on trade remedies. This year’s event drew the participation of 150 persons composed of representatives and experts of trade remedies institutions from 11 economies around the world, including the U.S., EU, China, and Japan, as well as the World Trade Organization (WTO). The first and second session was each held under the theme of “Supply Chain Realignment and the New Challenge Facing Trade Remedies Institutions” and “Recent Trends in Trade Remedy Investigations: Cases and Tasks,” consisting of presentations and panel discussions among different countries’ trade remedies institutions. Furthermore, a technical committee meeting and a conference for the heads of trade remedies institutions served as platforms for cooperation and sharing of policies and actual investigation experiences. This year’s Seoul Forum saw its international status advance considerably as participating countries held 29 bilateral meetings on the sidelines, with Seoul Forum itself drawing the attendance of numerous high-level officials including Frédéric Seppey, Chairperson of the Canadian International Trade Tribunal (CITT), and David Latina, Australia’s Anti-Dumping Commissioner. The forum noted a shared consensus recognizing trade remedies as a key measure for upholding the fair trade order amid supply chain shifts and uncertainties across the global trade landscape. Also noted was the various countries’ respective push for reform of trade remedies and efforts for capacity building in view of factors increasing the complexity of investigations, such as global oversupply and circumvention. The KTC has received five anti-dumping investigation requests during this year’s first quarter alone, already reaching half of the record high 10 requests received last year. By this May, the KTC has also submitted a total of eight proposals, including those for provisional duties, for anti-dumping duties on steel and petrochemical products based on a cause-and-effect relation between dumped imports and injury on domestic industries. The above outcomes are a result of the organizational expansion and restructuring efforts that the KTC carried out in March, aiming to enhance its timely responses to domestic industrial damage from low-priced imports and to strengthen trade defense mechanisms.   date2025-06-10

Seoul Food 2025 kicks off at record scale

Korea’s Ministry of Trade, Industry and Energy (MOTIE) and the Korea Trade-Investment Promotion Agency (KOTRA) announced that the Seoul International Food Industry Exhibition 2025 (Seoul Food 2025) is held from June 10–13 at the Korea International Exhibition Center (KINTEX) in Ilsan. Launched in 1983, Seoul Food is now in its 43rd year and ranks as Korea’s largest and Asia’s fourth largest food exhibition. This year’s Seoul Food has drawn a record of 1,639 food businesses from 45 countries and the number of overseas buyers participating in the trade consultations program have jumped 20 percent year-on-year to 300 companies. The popularity of K-food sweeping across parts like Southeast Asia and the U.S. has attracted a substantial number of their major buyers to engage in this year’s trade consultations, which are estimated to generate an export contract value of roughly USD 0.25 billion, up 25 percent from last year. Meanwhile, global experts will have the opportunity to present and discuss various issues at the 9th Global Food Trend & Tech Conference program, addressing recent global food industry trends such as meat alternatives, low-sugar products, future food technology, AI, robots, and digital food technology. Moreover, a score of leading businesses in the areas of meat alternatives, food tech, and convenience meals will be awarded during the 10th Seoul Food Awards program for their achievements, while exclusive promotion booths will be set up to assist the export of quality food items. Another special feature of Seoul Food 2025 is the addition of influencers and content creators from Korea, China, Vietnam, and Japan, who will be joining to boost the sales and promotion of food products through digital platforms, in an effort to expand beyond the conventional retail network. In conjunction with Seoul Food 2025, Korea’s Ministry of Agriculture, Food, and Rural Affairs (MAFRA) is hosting a one-on-one trade consultation program to support the diversification of competent SMEs and middle-market companies, where buyers from emerging markets like Chile, Guatemala, and Laos are introduced to Korea’s top export items like kimchi, red ginseng, and yuja preserves as part of creating tangible outcomes like MOUs and trade deals to penetrate new markets. Furthermore, the National Food Cluster pavilion is opening for the second consecutive year to support 48 promising food companies’ exhibitions, tasting events, and buyer consultations.   date2025-06-10

Korea’s exports decline 1.3% in May

The Ministry of Trade, Industry and Energy (MOTIE) announced on June 1 that Korea’s exports and imports for the month of May 2025 decreased 1.3 percent and 5.3 percent year-on-year, respectively, to USD 57.3 billion and $50.3 billion. The trade balance stood at a surplus of $6.9 billion.   Accounting for the number of working days, the daily average export value rose 1.0 percent to this year’s all-time high of $2.7 billion. Five out of Korea’s 15 major export items advanced in May. Semiconductors hit a new high for the month with $13.8 billion (up 21.2 percent) as fixed prices rose alongside strong demand for high value-added memory chips like HBMs and DDR5s. Wireless communication exports maintained an upward trajectory for the fourth consecutive month, climbing 3.9 percent to $1.3 billion on the backs of the robust performance of smartphones (up 30.0 percent to $0.4 billion). Computers, including solid-state drive (SSDs), increased 2.3 percent to $1.1 billion, turning to an expansion. Bio-health exports (up 4.5 percent to $1.4 billion) increased for the fourth consecutive month, driven by the solid growth of biopharmaceuticals (up 13.7 percent to $0.9 billion). Ship exports gained 4.3 percent to $2.2 billion, growing for the third month straight. Korea’s total automobile exports entered the $6 billion thresholds for the fourth consecutive month, thanks to demand for EVs and secondhand cars (up 71.0 percent to $0.7 billion) in the EU market.  In addition to the leading 15 items, Korea’s agricultural food products (up 5.5 percent to $1.0 billion) and cosmetics (up 9.3 percent to $1.0 billion) both reached historic highs for May and electric machinery (up 0.1 percent to $1.3 billion) improved for the fourth consecutive month. By region, Korea’s May exports expanded to two out of nine major destinations. To China, exports dropped 8.4 percent to $10.4 billion as those of semiconductors and petrochemicals receded. U.S.-bound exports fell 8.1 percent to $10.0 billion as a result of a plunge in automobile exports, despite the growth of wireless communications devices, petroleum products, and secondary batteries. Exports to ASEAN shrank 1.3 percent to $10.0 billion in spite of the double-digit growth of semiconductor exports, as petroleum products and petrochemicals took a sharp dive.  Exports to the EU (up 4.0 percent to $6.0 billion) were led by automobiles and semiconductors, gaining for the third consecutive month. Those to CIS countries surged 34.7 percent to $1.2 billion. Korea’s energy imports for May diminished 12.8 percent to $10.2 billion, owing to lower imports of crude oil and gas. Non-energy imports decreased 3.2 percent to $40.2 billion.   date2025-06-02