Ministry of Trade, Industry and Energy

Korea’s auto exports log 2nd highest for March

The Ministry of Trade, Industry and Energy (MOTIE) of Korea announced today that automobile production (up 1.5 percent), domestic sales (up 2.4 percent), and export value (up 1.2 percent) for the month of March 2025 all advanced year-on-year for the second consecutive month. Notably, March automobile exports reached the second highest in history for the month at $6.2 billion. The export value for the first quarter (Q1) inched down 1.3 percent year-on-year, which is attributable to last year’s high base effect and this year’s lower number of working days (-3) compared to Q1 2024. Domestic sales rose 2.7 percent to 388,294 units during Q1 2025 as a result of a base effect from last year’s sluggish domestic demand. Q1 sales of eco-friendly vehicles soared over 20 percent to 169,013 units and the total automobile production volume (1,013,485 units) breached the one-million-unit mark for the third consecutive year, driven by strong domestic demand.   date2025-04-15

Korea and Vietnam ink MOUs for wider economic cooperation

Korea’s Minister of Trade, Industry and Energy Dukgeun Ahn met Vietnam’s Minister of Industry and Trade Nguyen Hong Dien today in Hanoi for the 14th Korea-Vietnam Joint Industrial Committee and 8th Korea-Vietnam FTA Joint Committee meetings and discussed measures for wider economic cooperation between the two countries. During the Korea-Vietnam Joint Industrial Committee meeting, the two sides discussed detailed implementation measures for reaching USD 150 billion in bilateral trade volume by 2030 and agreed to cooperate on Vietnamese nuclear reactor projects, LNG power generation, clean energy development, and textile sector investments as well as on resuming logistics policy meetings at the director general level. In the following FTA Joint Committee meeting, the two delegations reviewed key issues including the amendment of the bilateral FTA for cost reduction and streamlining of customs procedures for exporting businesses, the expansion of electrical safety certification institutes, broadening the export and import range of agricultural and livestock products, and import regulations. They also discussed ways to enhance companies’ utilization of the bilateral FTA. A memorandum of understanding (MOU) signing ceremony was held on the heels of the FTA Joint Committee meeting, where the chief delegates of both countries signed the MOU on achieving $150 billion in bilateral trade volume by 2030 and the director generals in charge of nuclear power development inked an MOU on bilateral nuclear reactor cooperation. Moreover, Korea Electric Power Corporation (KEPCO) entered into an MOU with Vietnam’s state-owned power transmission company for cooperation in power grids and new energy industries.  In the evening of the same day, Minister Ahn convened a conference with the representatives of 16 Korean companies operating in the local Vietnamese market to discuss business issues, stating that the ministry will make continued effort to maintain intergovernmental, high-level consultations with relevant authorities.   date2025-04-15

Korea’s ICT exports climb 9.4% in March

The Ministry of Trade, Industry and Energy (MOTIE) and the Ministry of Science and ICT (MSIT) of Korea announced today that exports and imports of information and communications technology (ICT) goods for March 2025 rose 9.4 percent and 6.8 percent year-on-year, respectively, to USD 20.6 billion and $12.2 billion. The trade balance stood at a surplus of $8.4 billion. Compared to February, the month of March saw exports and trade surplus soar steeply, each advancing 24 percent and 48 percent month-on-month. It is also significant to note that exports of major ICT items gained simultaneously for the first time in eight months. Leading items like semiconductors (up 11.8 percent year-on-year), displays (up 1.3 percent), mobile phones (up 14.5 percent), and computers/peripherals (up 28.1 percent) all achieved growth, whereas communication devices (down 0.4 percent) slowed. The rebound of semiconductors is attributed to buyers’ depleting memory chip inventories and increasing demand for high value-added memory chips like HBMs and DDR5s. Displays snapped their eight-month losing streak, thanks to new mobile phone model releases and wider demand from downstream ICT industries.  Mobile phones performed strong as shipments of parts surged on the backs of demand from overseas production bases. Computers/peripherals enjoyed growth as increasing investments in servers and datacenters across the U.S. and the EU led to higher demand for storage devices. Meanwhile, communication devices inched down as a result of the diminished supply of parts for wireless communication devices. By region, Korea’s ICT exports expanded to destinations like the U.S., Vietnam, and Japan, while those to China (including Hong Kong) and the EU declined.   date2025-04-14

Public-private experts gather in Seoul to discuss clean energy transition

The Ministry of Trade, Industry and Energy (MOTIE) of Korea is launching the 16th Clean Energy Ministerial (CEM) and 10th Mission Innovation (MI) high-level working meetings through April 9–11 in Seoul with the participation of roughly 280 attendees from 24 member economies’ governments and international organizations. During the meetings, public and private experts shared trends on clean energy distribution, technological innovations, and policies for expediting clean energy transitions in line with global energy and climate goals. They also discussed joint measures across specific areas as well as preparation for the CEM and MI ministerial conferences slated for August 2025. As the chair of this year’s CEM and MI ministerial meetings, Korea proposed that key agendas include the expansion of clean power, catalyzing the utilization of hydrogen as a future fuel, artificial intelligence (AI), and energy innovation. With clean power, hydrogen, and AI technology being major elements to consider in climate crisis response, clean energy distribution, and energy security, it is anticipated that participants will actively seek joint measures for related support policies and technological innovations. The CEM and MI ministerial conferences will convene in Busan later this year from August 26–27 alongside the APEC energy ministerial meeting (Aug. 27–28) and the World Climate Industry EXPO (Aug. 27–29), raising expectations for extensive exchanges on measures for sustainable growth and cooperation among energy leaders of over 40 countries.   date2025-04-10

Korea to accelerate industrial cooperation with Morocco

Minister of Trade, Industry and Energy Dukgeun Ahn of the Republic of Korea met Moroccan Minister of Industry and Trade Ryad Mezzour today in Seoul to discuss bilateral industry cooperation and trade issues. A strategic hub connecting Europe and Africa, Morocco is renowned for its growth potential in terms of population, critical minerals, and supply chain competitiveness, and is considered a major emerging Global South country with an FTA network spanning 55 economies.  Also, more and more Korean companies are entering the Moroccan market as of late. Among those is Hyundai Rotem, which won a KRW 2.2 trillion (USD 1.5 billion) train order from the Moroccan National Railways Office (ONCF) this February. In addition, automobile parts manufacturers are diversifying business models by broadening production bases to Morocco and other overseas regions in exporting their goods to third countries in Europe. Today’s bilateral talks are significant in view of the pressing need for Korean companies to expand their export markets amid the rapidly shifting international trade order. Mentioning that Morocco is the only African nation to hold FTAs with both the U.S. and the EU, Minister Mezzour articulated Morocco’s advantageous position as a gateway to Europe, Middle East, and Africa and expressed anticipation towards investment cooperation with Korean companies for industrial development and infrastructure expansion in preparation of Morocco’s co-hosting of FIFA World Cup 2030. Against the backdrop of rising global protectionism and supply chain disruptions, Minister Ahn highlighted the potential for synergy through joint preemptive response and mutual growth between the two countries by combining Korea’s advanced technologies and Morocco’s capacity as a regional production base. At today’s meeting, Minister Ahn proposed that Korea and Morocco launch official negotiations for the swift conclusion of the bilateral Economic Partnership Agreement (EPA) by carrying forward the momentum created on the occasion of the Korea-Africa Summit convened last June, as the EPA can serve as a legal and institutional framework for the two countries’ wider trade and investment cooperation. Minister Ahn further suggested that, prior to the EPA’s conclusion and entry into force, Korea and Morocco ink a bilateral Trade and Investment Promotion Framework (TIPF) as a cooperative platform for close consultations on trade issues so as to expedite their industrial collaborations.   date2025-04-08

Korea and Philippines to boost trade, investment, and supply chain cooperation

Minister of Trade, Industry and Energy Dukgeun Ahn of the Republic of Korea held high-level talks with the Philippine government delegation led by Special Assistant to the President for Investment and Economic Affairs Frederick Go today in Seoul and discussed measures for stronger economic cooperation in areas such as trade, investment, supply chains, and carbon-free energy. Noting the Philippines’ abundant natural resources and young demographic profile, Minister Ahn expressed appreciation towards the Philippine government’s efforts to create a choice investment environment, including the five percent corporate tax cut (from previous 25 percent to 20 percent) for investment companies. Special Assistant Frederick Go responded by stating that Korea is the Philippines’ major trade and investment partner and conveyed anticipation for the two countries to gain meaningful outcomes through the Korea-Philippines Business Forum, with Korea being the Philippines’ first stop of its investment roadshows. Both sides agreed that the two countries should expand cooperation in areas like critical minerals and clean energy amid the rapidly changing global trade environment. Accordingly, they decided to take active steps to implement the memorandum of understanding (MOU) on the feasibility study for resuming construction of the Baatan nuclear power plant as well as the MOU for bilateral cooperation on their critical raw materials supply chain. Following the talks, Minister Ahn attended the Korea-Philippines Business Forum hosted by the Philippine government and organized by the Philippine Embassy in Korea. In his congratulatory address, the minister assessed how the two countries have established a basis for wider economic cooperation with their bilateral relations elevated to a strategic partnership on the occasion of the last Korea-Philippines summit. He added that going forward, the Korean government plans to leverage economic cooperation platforms in making intergovernmental efforts to promote smooth business collaboration between the two countries.   date2025-04-07

Korea-India Insight Forum for shared growth co-hosted by MOTIE and Indian Embassy to Korea

The Ministry of Trade, Industry and Energy and the Indian Embassy to Korea co-hosted the Korea-India Insight Forum at the Residence of the Indian Ambassador to Korea on Friday, April 4, to have in-depth discussions on strategic cooperation between the two countries across the economic and trade sectors.  This Forum was joined by the two governments and private experts, and prepared to devise cooperation directions between the two countries amid the deepening structural shift of international trade orders, such as global supply chains restructuring, technology competition, exports of over-capacities and tariff escalations. Participants agreed on the significance of relations between Korea and India as Special Strategic Partners, and emphasized the need for practical cooperation centered around new industries including development cooperation, digital transformations, advanced manufacturing, infrastructure, clean energy, human resource mobility as well as mutual trade and investment.  Director General of the Bureau of International Trade Relations Jongchul Kim  mentioned that although the outcomes of cooperation between the two countries have been limited compared to the potential, this year will be an opportunity to reshape the existing cooperative framework and pursue substantial cooperation. Concurring with DG Kim, India’s Ambassador to Korea Amit Kumar suggested intensifying bilateral engagement to seize emerging opportunities and establishing sustainable partnerships across multiple sectors based on respective economic structures, growth potential and mutual strategic benefits. In commemoration of the 10th anniversary of Special Strategic Partnership, the Korean and Indian governments will enhance policy communication and cooperation across a wide range of sectors going forward.   date2025-04-04

FDI arrivals to Korea climb 26.4% in Q1 2025

The Ministry of Trade, Industry and Energy (MOTIE) of the Republic of Korea announced today that foreign direct investments (FDIs) pledged to Korea in the first quarter of 2025 (Jan-Mar, acc.) decreased 9.2 percent year-on-year to USD 6.4 billion, while FDIs that actually arrived in Korea over the same period soared 26.4 percent to $3.5 billion. By type, greenfield investments jumped 20.7 percent to $4.7 billion, recording all-time highs for Q1 despite internal and external uncertainties, raising anticipation for job creation and local economic development. M&A investment pledges shrank 45.4 percent to $1.7 billion, but arrivals surged 31.9 percent to $1.9 billion. By industry, the manufacturing sector saw FDI pledges fall 24.5 percent to $2.3 billion. Pledges for the service sector dropped 7.4 percent to $3.6 billion, whereas arrivals leaped 68.7 percent to $2.8 billion.  By region, FDI pledges coming in from the U.S. rose 15.0 percent to $0.8 billion. Pledges and arrivals from the EU both skyrocketed 163.6 percent and 123.5 percent, respectively, to $1.5 billion and $1.1 billion. Pledges from Japan climbed 8.6 percent to $1.2 billion. Meanwhile, those from China contracted 75.0 percent to $0.3 billion.   date2025-04-03