Ministry of Trade, Industry and Energy

MOTIE holds pan-ministerial meeting to take stock of Middle East economic diplomacy outcomes

Deputy Minister for Trade Yang Byeong-nae chaired the sixth Korea-Middle East Economic Cooperation Public-Private Joint Committee Support Working Group meeting on February 14 at K-SURE in Seoul to assess the economic diplomacy outcomes and to support Korean companies’ advances in the Middle Eastern market.   Meeting attendees consisted of representatives of related institutions, ministries and companies, including K-SURE, Korea Chamber of Commerce and Industry (KCCI), Federation of Korean Industries (FKI) and Korea International Trade Association (KITA). Attendees agreed that outcomes are growing increasingly tangible based on memorandums of understanding (MOUs), contract deals and plant project bid orders sealed to date. Companies also voiced opinions and requests concerning business challenges and related issues.   The first part of the meeting focused on introducing various institutions’ business support programs, such as K-SURE’s trade financing package supporting each stage of the bid order process and Korea Trade-Investment Promotion Agency (KOTRA)’s marketing support program.   Next, companies gave briefings on their follow-up outcomes to MOUs and agreements with their Middle Eastern partners. Company A shared that it entered a power equipment and materials supply contract worth KRW 63.8 billion with a Saudi firm and an 82.2 billion won supply contract with Saudi Electricity Company (SEC). Company B informed that a concept design for a biopharmaceutical plant is underway for a formal contract. Company C has applied for a permit for exporting defense supplies to the United Arab Emirates (UAE) and Company D is selling overseas travel packages to the Middle Eastern market following a formal contract with a UAE firm in July last year. Company E was offered a 70 billion won facilities investment project proposal for a joint sewing factory and managed to strike a $0.9 million export deal, while Company F reported that it completed the first stage of smart farm pilot installation in January this year for the Qatari royal palace.   Moreover, companies requested for government support in their business efforts for greater outcomes in the Middle East, such as financial support for accumulating overseas demonstration experiences, tax benefits, provision of professional manpower and legal information, prompt issuance of export permits, as well as customs benefits under the Free Trade Agreement (FTA). MOTIE and relevant ministries intend to seek practical support measures through the public-private joint committee and working group.   Deputy Trade Minister Yang stated that the MOUs signed by Korean companies are leading to contract deals and additional follow-up results, adding that full measure will be given to responding to suggestions and challenges voiced during the meeting through an extensive inspection on the implementation process. date2024-02-15

Vice Minister meets with Canada’s Deputy Minister of Natural Resources

Trade, Industry and Energy Vice Minister Namho Choe met with Canada’s Deputy Minister of Natural Resources Michael Vandergrift on February 14 in Paris on the sidelines of the IEA Ministerial Meeting to discuss measures for wider cooperation in clean energy, including critical minerals, hydrogen, and SMR. date2024-02-15

Vice Minister meets with IEA Executive Director

Trade, Industry and Energy Vice Minister Namho Choe met with Fatih Birol, Executive Director of the International Energy Agency, on February 13 in Paris on the sidelines of the IEA Ministerial Meeting to discuss Korea-IEA CFE cooperation and measures for expanding clean energy utilization. date2024-02-15

IEA Ministerial Communique, the first to recognize the role of nuclear energy to address the climate crisis and improve energy security

International Energy Agency(IEA) Ministerial Communique, the first to recognize the role of nuclear energy to address the climate crisis and improve energy security   - Vice Minister Namho Choe met with IEA Executive Director Dr. Fatih Birol at the 2024 IEA Ministerial - IEA and Korea agree to launch a joint study on carbon-free energy   On February 14th, Vice Minister Namho Choe from the Ministry of Trade, Industry and Energy (MOTIE) attended the IEA Ministerial in celebration of the IEA’s 50th anniversary. During this Ministerial meeting, IEA Member States reaffirmed their dedication to deploying clean energy and ensuring energy security. Member States adopted the IEA Ministerial Communiqué, which is the first-ever multilateral agreement that recognizes the crucial role of nuclear power as a clean source to reduce dependence on fossil fuels. Additionally, the Communiqué emphasizes the need to accelerate the deployment of various carbon-free energy technologies tailored to national circumstances and choices. This achievement is significant for many countries, including Korea, which is dedicated to achieving carbon neutrality.   Moreover, governments, industries, academies, and experts participating in the IEA Ministerial engaged in a substantive discussion on accelerating global transitions. Korea presented its dedication to contributing to the global clean energy transition in light of its excellent commercialized carbon-free energy technologies and manufacturing-skilled industries.   Vice Minister Namho Choe met with IEA Executive Director Dr. Fatih Birol at the margins of 2024 IEA Ministerial and expressed their commitment to continued cooperation for a sustainable energy future.   The IEA and Korea have agreed to intensify collaboration through a joint study on carbon-free energy utilization conditions in major countries this year. “To achieve net-zero emissions by 2050, the world needs to rapidly improve energy efficiency and accelerate the deployment of carbon-free technologies, including renewables, hydrogen, ammonia, CCUS and nuclear power in those countries that choose to use it. Against this backdrop, I hope the joint study we are doing with Korea on carbon-free energy will be a useful input to guide countries towards their energy and climate goals.” Dr. Fatih Birol said. “I look forward to further deepening our partnership with Korea following the extremely productive exchange we had today.”   “Korean companies possess a competitive edge in the manufacturing technology of various clean energy fields, including batteries, semiconductors, nuclear power, renewable energy, and hydrogen. It is the unwavering commitment of Korea to contribute to establishing global energy security and accelerating the transition towards clean energy”, Vice Minister Choe stated, “I would like to express my appreciation for Dr. Birol’s leadership in guiding our responses through the energy crisis and for his dedication to ensuring that the IEA plays a key role in sustaining the global transition towards clean energy.”   date2024-02-15

Trade Minister visits POSCO International

Minister for Trade Inkyo Cheong visited POSCO International, a specialized trading company in Incheon, on February 14 to discuss measures to expand Korea’s exports and stabilize the global supply chain by capitalizing on general trading companies’ overseas network and trading expertise. date2024-02-14

Vice Minister meets with Japan's Economy, Trade and Industry State Minister

Trade, Industry and Energy Vice Minister Namho Choe met with Japan’s State Minister of Economy, Trade and Industry Kazuchika Iwata on February 13 in Paris on the occasion of the IEA Ministerial Meeting and discussed bilateral cooperation in energy areas, including carbon-free energy, hydrogen and ammonia and critical minerals. date2024-02-14

Vice Minister meets with Germany’s Parliamentary State Secretary at the Federal Ministry for Economic Affairs and Climate Action

Trade, Industry and Energy Vice Minister Namho Choe met with Stefan Wenzel, Germany’s Parliamentary State Secretary at the Federal Ministry for Economic Affairs and Climate Action, on February 13 in Paris on the sidelines of the IEA Ministerial Meeting to discuss measures for carbon-free energy cooperation and for expanding bilateral energy cooperation. date2024-02-14

Vice Minister hosts CFE Roundtable

Trade, Industry and Energy Vice Minister Namho Choe held the Carbon-Free Energy (CFE) Roundtable on February 13 in Paris on the occasion of attending the International Energy Agency Ministerial Meeting from February 13-14 to share views on the Carbon-Free Energy (CFE) Initiative with representatives of seven countries (Canada, Japan, the Netherlands, UK, etc.) and IEA and discussed measures on international cooperation for diffusing the utilization of carbon-free energy sources. date2024-02-14

Vice Minister meets with Swedish Deputy Prime Minister and Minister for Energy, Business and Industry

Trade, Industry and Energy Vice Minister Namho Choe met with Ebba Busch, Swedish Deputy Prime Minister and Minister for Energy, Business and Industry, on February 13 in Paris on the sidelines of the IEA Ministerial Meeting and discussed measures for carbon-free energy cooperation. date2024-02-14

General trading companies called to spearhead the stabilization of supply chains

Minister for Trade Inkyo Cheong visited the head office of POSCO International in Incheon on February 14 and discussed measures for expanding Korea's exports and stabilizing the global supply chain by capitalizing on general trading companies’ overseas network and trading expertise.   General trading companies are currently expanding their role of spearheading exports, managing the supply chain and assisting exports of SMEs. Ever since the general trading company system was introduced in Korea in 1975, general trading companies have been expanding their sphere of activity beyond the traditionally manufacturing-based merchandising trade to areas like overseas resources development, large-scale infrastructure bid projects and supply chains in various areas like food and energy. With the emergence of new industries like EVs and batteries, they are notable contributors to the stable expansion of supply chains through the direct equity investment on graphite, nickel and such critical minerals. Not only that, based on their overseas network accumulated over extensive trading experience, trading companies’ role of helping prominent SMEs join the global supply chain is increasingly growing in importance.   The Korean government is boosting catered support with respect to the enhanced roles of general trading companies. First, the Government will support the import insurance on key supply chain items for stabilization of the supply chain. It plans to give increased loans for overseas resources development projects and has introduced tax credits for investors entering license-granting overseas mining projects. The Government also intends to bolster the utilization of trade networks on critical minerals like the Minerals Security Partnership (MSP), while also strengthening bilateral and multilateral collaboration with resource-rich countries, with plans to develop cooperative schemes using the early warning system for supply chain stabilization operated by the Korea Trade-Investment Promotion Agency (KOTRA) and other related institutions. Moreover, active support will be given towards SMEs’ and middle-market companies’ joint entry into overseas markets with general trading companies that are designated as specialized trading companies under the Foreign Trade Act.   Trade Minister Cheong stated that “in this age of economic security, close communication and cooperation between policy authorities and companies is key” and added that the role of general trading companies should be strengthened. He said that “if general trading companies spearheaded exports in the past, those today with information and financing power are called to spearhead the stabilization of supply chains in critical minerals, energy, materials, equipment and food,” highlighting that “the three laws on supply chain management will greatly assist companies once fully enforced.” date2024-02-14