Ministry of Trade, Industry and Energy

Maximizing the Outcomes of Summit Diplomacy

On this page Overview Policies Overview Since the new administration took office, President Park has been actively pursuing summit-level diplomacy. Government-wide efforts are being made to translate the concrete outcomes drawn from 17 outbound and 22 inbound state visits (as of 2014) into new business opportunities for companies. Parties interested in the detailed outcomes of summit diplomacy initiatives may access the public portal website Summit Diplomacy Portal and gain date2014-12-30

A New Trade Roadmap

Expand the benefits of date2014-12-30

Fostering multilateral trade cooperation

Among the G20's key priorities, which include strengthening the world economy, global financial system reform, economic reform and trade, MOTIE is playing a core role in pursuing the international trade agenda which is a driving force of economic growth and job creation. date2014-12-30

Active participation in WTO negotiations

(the negotiation of the expansion of the WTO ITA) Since 2012, negotiations have been ongoing to expand the list of products covered by the agreement, and Korea is actively participating in these date2014-12-30

Nuclear power plant export

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Energy-related new industries

* Examples include demand management programs, energy management services, electric vehicle services, energy independent islands, solar energy rental services, use of thermal effluent from power plants. * Electricity market mechanism: The Korean electricity market is operated by the Korea Power Exchange, and the Korea Electric Power Corporation (KEPCO) buys electricity in order of price from lowest to highest based on unit cost of production and supply potential information submitted by generators. * (before) Demand reduction through government spending → (after) Demand reduction through the participation of demand management companies in the electricity market ※ Total electricity savings are expected to reach 1.9 million kW by 2017, accounting for 2.5% of peak demand (76.52 million kW in 2013). * It is difficult for solar PV and wind power to provide consistent output due to changes in weather conditions and wind velocity. Even though ESS can provide society with such g date2014-12-30

Establishment of stable and efficient energy supply system

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Promotion of new and renewable energy

"The Act on the Promotion of the Development, Use, and Diffusion of New and Renewable Energy" defines new and renewable energy as energy resources converted from existing fossil fuel resources or renewable energy sources, including the sun, water, geothermal heat, precipitation, and bio-organisms. The Act identifies 11 such resources, including solar energy, bioenergy, wind power, hydro power, fuel cells, liquefied or gasified coal, gasified heavy oil residue, tidal power, waste-to-energy, geothermal energy, and hydrogen energy. Despite its weak economic feasibility due to the lack of price competitiveness and the high initial investment costs, new and renewable energy is becoming increasingly important and necessary as a key solution to fossil fuel depletion and other environmental issues. As of 2012, the penetration rate of new and renewable energy was 3.18% that of primary energy. This rate rose by 10.9% annually on average from 2008 to 2012, almost three times faster than the 3.7% annual average growth of primary energy penetration during the same period. Waste-to-energy and bioenergy represented 80% of the entire new/renewable energy supply base, while solar energy and wind power accounted for just 5%. MOTIE will employ and spread revenue models that are backed by consumer participation (e.g. collaboration with residents, eco-friendly energy towns), which would increase the use of new/renewable energy through the participation of the general public and sharing of results. MOTIE will also implement unsubsidized rental projects in which private firms provide necessary servi date2014-12-30

Origin management

* Included in the Foreign Trade Act a provision against import or export of goods with false labeling * Identified goods subject to the labeling requirement (326 articles at HS 4-digit level under the bylaw announced by the Korea Customs Service) * Introduced the Act on Fosterage of Agricultural and Fishery Products Processing Industry and Control of their Quality * A good is considered as domestic 1) when its tariff sub-heading has been altered and the domestically added value is 51% or more; and 2) when the domestically added value is 85% or more. * Extended authority to supervise goods in circulation, which previously had belonged only to city/provincial governors, to the Customs Service as well (Enforcement Decree of the Foreign Trade Act, 4 Apr 2007) * After consulting the relevant organizations and the substantial transformation criterion (Article 85-3), the MOTIE Minister can designate a certain country as the origin of a product even when there has been no change in tariff subheading if that country has imparted an original characteristic to the product. The Foreign Trade Act and its bylaws specify the goods subject to the labeling requirement and stipulate basic principles, while the Customs Service's public announcements based on such laws elaborate on the labeling procedures and methods. The origin management of agricultural and fishery products is separatedly regulated by the Act on Origin Labeling of Agricultural and Fishery Products. date2014-12-29

Paperless Trade

Paperless trade refers to transactions that are wholly or partially based on electronic documents. In 1991, Korea began to build an EDI-based paperless trade system for commercial trade, foreign exchange, customs clearance and export-import logistics. The government subsequently established uTradeHub as part of the e-Government Support Project (2003-2012) in order to better respond to changes in the trade environment caused by the growth of IT technologies such as the internet in the early 2000s and ensure the continuous expansion of trade. It also introduced the Electronic Trade Facilitation Act to widen the use of paperless trade. The government now envisions a global trade information network through which all trading processes, including marketing, foreign exchange, commercial trade, customs clearance and logistics, are handled electronically on a real-time basis both at home and abroad. date2014-12-29