Ministry of Trade, Industry and Energy

MOTIE and Airbus D&S seal MOU on establishing International Technology Center

Industrial Policy Deputy Minister Lee Seung-ryeol at the Ministry of Trade, Industry and Energy (MOTIE) met with Airbus Defense and Space (D&S) Chief Operating Officer (COO) Francisco Sánchez Segura on May 10 for the signing of the memorandum of understanding (MOU) between MOTIE and Airbus D&S on the establishment of Airbus’ International Technology Center (ITC) in Korea.   A closed-door roundtable was also held on the margins of the MOU signing ceremony, attended by representatives of government-funded research institutes and companies, for discussions on expanding international cooperation in aerospace and defense.   An outcome of bilateral working level meetings following talks held between the MOTIE minister and Airbus D&S CEO in November 2022, the MOU articulates MOTIE-Airbus cooperation on the ITC establishment and joint global research and development (R&D) projects. Airbus is aiming to establish the ITC as part of a greenfield investment project and select the site for the ITC’s location by the end of this year.   During the MOU period, the two sides will develop an operating model to secure ITC’s self-reliance, catalyze innovation and collaboration across their aviation industries, and uncover projects in line with the ITC’s strategic vision. The ITC is Airbus’ first R&D center to be built in Korea and will serve as a joint platform for bilateral R&D. date2024-05-10

Korea and Kyrgyzstan discuss cooperation in renewable energy

Trade, Industry and Energy Minister Dukgeun Ahn met with Kyrgyz Energy Minister Taalaibek Ibraev on May 10 in Seoul and discussed renewable energy, energy efficiency and the Korea-Kyrgyzstan memorandum of understanding (MOU) on energy cooperation.   Minister Ahn introduced the Korean government’s efforts for distributing renewable energy like solar and wind power and asked for the Kyrgyz government’s support towards Korean firms' participation in Kyrgyzstan’s renewable energy projects in the future.   Moreover, as both countries are pushing policies for energy efficiency in view of climate crisis response and stronger energy security, the two sides agreed to cooperate in promoting bilateral people-to-people and technology exchanges.   Lastly, Minister Ahn invited Kyrgyzstan’s active support and participation in the upcoming World Climate Industry Expo (WCE) 2024 slated for September in Busan. date2024-05-10

Trade Minister attends 18th Trade Advisory Committee Meeting

Minister for Trade Inkyo Cheong attended the 18th Trade Advisory Committee Meeting on May 8 at Lotte Hotel Seoul to discuss future trade policy directions in view of recent changes in the global trade landscape. date2024-05-09

U.S.' BorgWarner establishes future mobility R&D center in Daegu National Industrial Complex

Director General for Cross-Border Investment Policy Park Deok-yeol attended the completion ceremony of the U.S.-based BorgWarner’s USD 43.6 million “Future Mobility Electrification Driving System R&D Center” on May 9 in the Daegu National Industrial Complex.   Since its initial establishment of transmission clutch production facilities in 1988, BorgWarner has invested a total of $140 million in Korea. The global automotive and e-mobility supplier currently operates seven production lines in Korea, including BorgWarner Changnyeong and BorgWarner Chungju, and has hired an estimated 1,400 employees. The construction of the R&D center commenced after BorgWarner's submission of its investment declaration during President Yoon’s state visit to the U.S. in September 2022.   The newly constructed R&D center is expected to complete a one-stop support system for the R&D, testing, and demonstration of electric vehicles’ driving systems, while also strengthening Korea’s automobile industry’s technological competitiveness and stabilizing the supply chain. The company will be further recruiting 43 highly skilled technical talents within the Daegu National Industrial Complex in the future, contributing to local employment.     date2024-05-09

Korea's automobile exports advance 10.3% in April

The Ministry of Trade, Industry and Energy (MOTIE) announced on May 8 that Korea’s automobile exports for April climbed 10.3 percent year-on-year to a monthly high of USD 6.8 billion, breaking the previous record set in November 2023 at $6.5 billion.   The accumulated export value through January to April this year rose 4.7 percent year-on-year to $24.3 billion, likewise an all-time high for the period. The expansion is attributable to high demand for eco-friendly vehicles and growing U.S.-bound exports of sport utility vehicles (SUVs).   As for eco-friendly vehicles, their major destinations like the U.S. and Europe showed increased demand for hybrid electric vehicles (HEVs) in April, achieving a record-breaking $2.3 billion (up 11.6 percent year-on-year) in export value.   April’s automobile production amounted to 394,457 units (up 3.5 percent year-on-year), the highest in 13 months since reaching 410,000 unit thresholds in March 2023, thanks to the added number of working days (+1) compared to last April.   Domestic sales declined 5.5 percent to 141,110 units. Meanwhile, HEV sales leaped 35 percent year-on-year to 39,576 units as domestic preference for HEVs also strengthened. date2024-05-09

Minister attends Incheon Liquefied Hydrogen Plant completion ceremony

Trade, Industry and Energy Minister Dukgeun Ahn attended the completion ceremony of the world's largest liquefied hydrogen plant on May 8 in Seo-gu, Incheon, built by SK E&S.   Minister Ahn gave a congratulatory message, stating that the liquefied hydrogen plant will be Korea’s new gamechanger for the hydrogen economy, and is an exemplary case of the joint efforts of the Government’s deregulatory measures and private investment.   The event was attended by representatives of relevant institutions, companies, and associations, including the Trade, Industry, Energy, SMEs and Startups Committee, SK E&S, Korea Development Bank (KDB), and the mayor of Incheon. date2024-05-09

World's largest liquefied hydrogen plant starts operation in Incheon

Trade, Industry and Energy Minister Dukgeun Ahn attended the Incheon Liquefied Hydrogen Plant completion ceremony on May 8 in Seo-gu, Incheon.   The world’s largest in scale, the Incheon Liquefied Hydrogen Plant is a KRW 700 billion won project by SK E&S for producing 30,000 metric tons of liquid hydrogen per annum at maximum capacity, which is equivalent to the amount for charging 5,000 hydrogen buses. Centering around the completed plant, SK E&S plans to build a total of 40 liquid hydrogen charging stations nationwide by 2026 to create a liquid hydrogen distribution network, beginning with 20 stations this year.   Taking up only 1/800th the volume of hydrogen gas, liquified hydrogen heightens transport efficiency 10-fold and is anticipated to catalyze the diffusion of hydrogen-powered mobility, such as hydrogen cars and buses. As hydrogen reaches an ultrapure level of around 99.9999 percent during liquefaction, it can also be used in advanced industries that require large amounts of ultrapure hydrogen, including semiconductors and defense.   The Korean government has been providing swift support for related licensing through a regulatory sandbox for special exemption of demonstrations, and will continue to further the nurturing of the hydrogen liquefaction ecosystem by supporting the securing of relevant key technologies, R&D of related materials, parts, and equipment, as well as the development of safety standards across the entire liquid hydrogen life cycle.   date2024-05-09

AI Industrial Policy Committee inauguration ceremony

Trade, Industry and Energy Minister Dukgeun Ahn attended a 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. date2024-05-08

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

Experts gather to discuss trade policy directions amid global paradigm shifts

Minister for Trade Inkyo Cheong attended the 18th Trade Advisory Committee Meeting on May 8 at Lotte Hotel Seoul to discuss future trade policy directions in view of recent changes in the global trade landscape.   The Trade Advisory Committee is a civil advisory body run by the Ministry of Trade, Industry and Energy (MOTIE) in accordance with the Act on procedures for concluding and implementing commercial treaties. Composed of 27 experts across the academic, industrial, and research spheres of various relevant areas, the Committee elected a new Chairperson and appointed new members during this meeting. The Committee is to be combined with another related committee dealing with domestic trade measures to form the Trade Policy Advisory Committee.   Attendees reviewed past trade policy outcomes and engaged in discussions on detailed policy tasks and proposals for Korea to play a key role in global trade while responding to trade environment shifts, such as this “super election year” and the rise in protectionism.   Trade Minister Cheong highlighted that MOTIE plans to “stabilize the supply chain and expand Korea’s export portfolio through upgrading and diversifying the trade network amid global paradigm shifts.” date2024-05-08