Ministry of Trade, Industry and Energy

Korea and Czech Republic deepen standards cooperation in battery, hydrogen, and AI

The Korean Agency for Technology and Standards (KATS) under the Ministry of Trade, Industry and Energy (MOTIE) of the Republic of Korea launched the Korea-Czech Republic Standards Cooperation Workshop (“Workshop”) today in Seoul with the participation of approximately 50 private standards experts and government officials of both countries. A follow-up to the action plan for standards cooperation signed between the two countries in October 2024 in Edinburgh to further the outcomes gained during the bilateral summit held last September, today’s Workshop brought Korean and Czech standards experts together to share technology and standardization trends in battery, hydrogen, and artificial intelligence (AI) and to engage in exchanges on standards information and joint standards development research for bilateral standards cooperation. On the margins of the event, the Korean Standards Association (KSA) and the Czechoslovak Association of Standardization (CAS) entered into a standards information distribution license agreement to promote support for Korean and Czech exporting businesses’ obtaining of standards approval for mutual market entry.   date2025-02-11

CFE Global Working Group launches inaugural meeting

The Ministry of Trade, Industry and Energy (MOTIE) of the Republic of Korea held the CFE Global Working Group meeting on February 7 via videoconferencing with the participation of the Czech Republic, Japan, United Arab Emirates (UAE), the International Energy Agency (IEA), and the Clean Energy Ministerial (CEM) Secretariat for discussions on the definition, standards, and technical criteria of carbon-free energy as well as practical measures to widen global participation in the CFE Initiative, including the provision of incentives for participating businesses. MOTIE and the Carbon Free (CF) Alliance are leading the Carbon Free Energy (CFE) Initiative, which aims for a technology-neutral approach in utilizing various carbon-free energy sources such as renewables, nuclear energy, and clean hydrogen to facilitate industries’ cost-effective achievement of carbon neutrality. The CFE Initiative has won the support of a total of 13 countries, international organizations, and groups. During the meeting, CF Alliance Chairman Lee Hoe-sung viewed that the CFE Global Working Group will serve to lay the foundation for discourse regarding the definition and standards of carbon-free energy that can gain general acceptance in the international community. CEM Secretariat Head Jean-François Gagné welcomed the active discussions within the CFE Global Working Group, which currently functions as the CEM platform, and expressed anticipation for the discussions to help build a stronger cooperation base. Meanwhile, Korea, the Czech Republic, Japan, and the United Arab Emirates (UAE) agreed to further relevant discussions for an early establishment of CFE implementation standards, while also stepping up cooperation to make progress through related discussions at the CEM Ministerial meeting slated for August 25 this year.   date2025-02-10

Korea-Vietnam Plus Joint Working Group seeks wider trade and investment

Director General for International Trade Relations Kim Jong-chul at the Ministry of Trade, Industry and Energy (MOTIE) of the Republic of Korea and Vietnam’s Asia-Africa Market Director General Do Quoc Hung at the Ministry of Industry and Trade (MOIT) headed their respective delegations in the third Korea-Vietnam Plus Joint Working Group (“Working Group”) meeting today via videoconferencing. The Working Group is a joint platform for bilateral consultations on expanding the Korea-Vietnam trade and investment with the participation of both countries’ government bodies, commercial attachés, and trade assistance institutions under the aim of achieving the USD 150 billion bilateral trade volume target by 2030, jointly declared by the two countries’ state leaders in 2022. The Working Group convened its first meeting in September 2023. At today’s meeting, the two sides took stock of the Korea-Vietnam trade and investment situation and exchanged views on global oversupply and other far-ranging issues. They also discussed nuclear energy cooperation and measures to resolve challenges for both countries’ businesses. Director General Kim highlighted the importance of widening forward-looking economic cooperation with Vietnam, Korea’s third largest trading partner, and proposed that the two countries make joint effort towards wider trade and investment in commemoration of the 10th anniversary of the Korea-Vietnam Free Trade Agreement (FTA). Noting that Korea is Vietnam’s largest investor, Director General Do Quoc Hung expressed hope for the two countries’ mutual growth and ensured interest and support concerning the local business issues experienced by Korean companies in Vietnam.   date2025-02-07

K-Grid Export Alliance kicks into high gear, eyeing global power grid market

Deputy Minister for Energy Policy Lee Ho-hyeon at the Ministry of Trade, Industry and Energy (MOTIE) of the Republic of Korea chaired the K-Grid Export Alliance (“Alliance”) kickoff meeting today at the Korea Trade Insurance Corporation (K-SURE) in Seoul, the first general meeting for the Alliance since its launch in December 2024, to seek new opportunities for homegrown businesses in the global power infrastructure market. Since MOTIE announced its global power grid market strategy in December, the ministry has been consulting with related export supporting institutions to concretize measures for boosting exports in 2025.  First, K-SURE plans to continue providing short-term preferential loans (up to double in limit) and insurance premium discounts (up to 20 percent) to transformer and power cable exporting businesses this year, while expanding the range of relevant export items to include energy storage systems (ESS).  Moreover, the overseas trade shows for power grids and related equipment that had previously been dispersed under the charge of different institutions will be integrated under the central management of MOTIE and the Korea Electric Association (KEA) to produce more tangible outcomes by streamlining the process of company recruitment, promotion, and performance management. Today’s meeting was attended by representatives of 15 companies and institutions, including Korea Electric Power Corporation (KEPCO), Korea Southern Power Co., Hyundai E&C, LS Electric, and KEA. They discussed export strategies in light of the newly emerging uncertainties as well as opportunities, such as the growing demand for artificial intelligence (AI) and datacenters, with an aim to propose a business model capable of meeting the complex needs of local overseas markets based on Korean companies’ expertise in EPC (engineering, procurement, construction) and manufacturing. Deputy Minister Lee stated that the global power grid market offers Korea’s power industry a vital opportunity for further growth, adding that public and private sectors will make joint effort to establish the industry as the country’s next new model for energy cooperation.   date2025-02-04

Korea’s Free Trade Zone exports log record highs in 2024

The Ministry of Trade, Industry and Energy (MOTIE) of the Republic of Korea announced today that annual exports from Korea’s Free Trade Zones (FTZs) in 2024 jumped 22.5 percent year-on-year to USD 14.9 billion, a historic high since the Masan FTZ designation in 1970, entering the $10 billion thresholds for the fourth consecutive year (2021–2024). In Korea, there are currently 13 areas designated and operating as FTZs, composed of seven industrial complex FTZs, one airport FTZ, and five port FTZs. By FTZ type, airport FTZ exports took the lead, taking up 85.2 percent of total FTZ exports in 2024 with $12.7 billion, followed by industrial complex FTZs ($2.1 billion) and port FTZs ($0.08 billion). Exports of industrial complex FTZs surpassed $2 billion for two straight years on the backs of strong global demand for Korean automobiles, ships, and related parts spurred by high value-added and green market trends. Airport FTZ exports soared 29.3 percent to $12.7 billion, thanks to the sharply climbing demand for high-performance semiconductors and high bandwidth memory chips as data processing capacity is emerging as a key element along with the development of artificial intelligence (AI) technology. By item, semiconductor exports took up 85.2 percent of entire FTZ exports, followed by electrical and electronic precision devices (6.4 percent) like car parts, mobile phone parts, and petrochemicals (1.9 percent) including petroleum resin. By region, China (64.3 percent) was the largest buyer of Korea’s FTZs in 2024, followed by other countries including Vietnam (8.8 percent), the U.S. (3.2 percent), and India (2.2 percent).   date2025-02-04

Korea’s exports fall 10.3% in January

The Ministry of Trade, Industry and Energy (MOTIE) of the Republic of Korea announced on February 1 that Korea’s exports for the month of January declined 10.3 percent year-on-year to USD 49.1 billion. Imports dropped 6.4 percent to $51.0 billion and the trade balance stood at a deficit of $1.9 billion. January exports were impacted by the long Seollal holidays (January 25–30) as the number of working days (20) decreased by four days compared to that of January 2024 (24), temporarily slowing down exports. The average daily export value, considering the impact from the lower number of working days, increased 7.7 percent to $2.5 billion, the second highest in history following the all-time high $2.5 billion of January 2022. The majority of items suffered from the reduced number of working days in January, but the average daily export value advanced for 10 items.  Semiconductors (up 8.1 percent to $10.1 billion) recorded their second highest exports for the month of January, maintaining the upward trajectory for the 15th consecutive month and entering the $10 billion thresholds for the ninth consecutive month. Computer exports posted double-digit growth (up 14.8 percent to $0.8 billion), growing for the 13th consecutive month. Exports of automobiles (down 19.6 percent to $5.0 billion) and car parts (down 17.2 percent to $1.6 billion) were more heavily affected in comparison to other industries, owing to automakers’ relatively longer Seollal holiday period (January 25–31). For petroleum products (down 29.8 percent to $3.4 billion), fires at major production facilities in December 2024 were a cause for setback in shipments, fueled by the fall in international petroleum product prices in comparison with those of January 2024. Exports to most destinations declined, the drop in China-bound exports (down 14.1 percent to $9.2 billion) attributed to the Spring Festival holidays (January 28–February 4). Exports to the U.S. also sank 9.4 percent to $9.3 billion as those of automobiles and general machinery contracted. Exports to ASEAN (down 2.1 percent to $8.6 billion) inched down but those to Vietnam (up 4.0 percent to $4.4 billion) showed strong growth on the backs of semiconductor exports, rising for the 13th consecutive month.   date2025-02-03

Trade Minister Cheong discusses key trade issues with major economies at WEF 2025 in Davos

Minister for Trade Inkyo Cheong of the Republic of Korea met with counterparts of various economies at the 2025 Annual Meeting of the World Economic Forum (WEF) in Davos, Switzerland, for discussions on stronger cooperation. He also attended the session on trade and investment leadership and the informal World Trade Organization (WTO) trade ministerial meeting to share ways to foster a more stable and predictable trade environment. First, Trade Minister Cheong held bilateral talks with counterparts of other major economies such as ASEAN, France, the Gulf Cooperation Council (GCC), Japan, the Philippines, Saudi Arabia, and the UK regarding the changing global trade landscape and reaffirmed a shared understanding for maintaining cooperation within the global trade order. Moreover, he explained how Korea is operating stably in terms of its economy and national security despite recent political uncertainties and highlighted Korea’s aims to advance cooperation with each country on the margins of the upcoming 2025 Asia-Pacific Economic Cooperation (APEC) Summit. With European Commissioner for Trade and Economic Security Maroš Šefčovič, Trade Minister Cheong discussed accelerating the Korea-EU Digital Trade Agreement (DTA) negotiations. Trade Minister Cheong also emphasized that the introduction of new labor and environmental regulations in EU should be carried out in a non-discriminatory manner. With Vice Minister for International Affairs Matsuo Takehiko at Japan’s Ministry of Economy, Trade and Industry (METI), the trade chief  took stock of the forward-looking development of Korea-Japan relations and cooperation momentum affirmed during the bilateral high-level trade talks held last December and reviewed the two countries’ joint progress in supply chains and digital areas. In his talks with ASEAN Secretary-General Kao Kim Hourn and the Philippines’ Secretary of Trade and Industry Cristina Aldeguer-Roque, Trade Minister Cheong discussed the ASEAN-ROK Think Tank Dialogue on Economic & Trade Policy (AKTD) on the occasion of the upcoming APEC trade ministerial meeting in May as well as key trade issues and measures for Korea-ASEAN trade expansion.   Through bilateral talks with UK’s Secretary of State for Business and Trade Jonathan Reynolds, New Zealand’s Deputy Secretary Trade and Economic Vangelis Vitalis, and GCC Secretary General Jasem Mohamed AlBudaiwi, Saudi Arabia’s Minister of Commerce and Investment Majid bin Abdullah Al-Kassabi, and Bahrain’s Minister of Industry and Commerce Abdulla bin Adel Fakhro, Trade Minister Cheong discussed Korea’s respective Free Trade Agreement (FTA) agendas with each economy and confirmed the importance of free bilateral trade. In addition, with Laurent Saint-Martin, France’s Minister Delegate for Foreign Trade and French Nationals Abroad, he exchanged views on electric vehicle (EV) subsidies and other agendas of mutual interest. Following the bilateral talks, Korea’s trade minister took part in the session on trade and investment leadership on January 23, where various economies’ trade ministers and global CEOs engaged in in-depth discussions on future impact from the newly inaugurated U.S. administration’s trade policies, and urged the need for further dialogue in the international community. During the informal WTO trade ministers’ meeting on January 24, the trade minister expressed Korea’s strong commitment to upholding an open and inclusive trade system as this year’s APEC chair and emphasized the need to reinforce the multilateral trade system amid the rise of protectionism, presenting key tasks concerning the WTO reform.  In his subsequent talks with WTO Director General Ngozi Okonjo-Iweala, he articulated the need for the WTO's reform in addressing newly emerging trade issues like climate change and artificial intellige date2025-01-31

Joint press release on the substantial conclusion of discussions for Costa Rica’s accession to the Digital Economy Partnership Agreement

The Parties to the Digital Economy Partnership Agreement (DEPA) are pleased to announce that substantive discussions for Costa Rica to accede to this world-leading digital trade agreement have substantively concluded.   Digitally signed in 2020 by Chile, New Zealand and Singapore, the DEPA is the world’s first standalone digital trade agreement, representing a leading-edge form of economic engagement and trade in the digital era. It reinforces commercially meaningful trade rules, establishes new approaches and collaborations in digital trade issues, promotes interoperability between different settings, and addresses the new issues brought about by digitalisation. It is designed to be an inclusive framework, open to economies that meet the high standards of the Agreement. The Republic of Korea joined the Agreement on 3 May 2024, the first new member economy to do so.   Costa Rica formally requested accession to the DEPA on 23 December 2022, and an Accession Working Group to assess this request was established on 6 October 2023. This Accession Working Group, chaired by New Zealand, has agreed that Costa Rica has demonstrated the means by which it will comply with the DEPA’s high standards, as well as a commitment to working collaboratively on projects of mutual interest, in areas such as electronic invoicing, consumer protection, and cross border data transfers.   The DEPA Parties will now work with Costa Rica to finalise its accession process in a timely manner consistent with each Party’s domestic procedures and the DEPA Accession Process.   Chile’s Vice Minister of International Economic Relations Claudia Sanhueza said, “We are delighted to announce, together with the other DEPA members, the substantive conclusion of Costa Rica's negotiations for its accession. Chile is pleased with this achievement, which will undoubtedly enhance the agreement's impact by extending its high digital economy standards to new members, this time to a Latin American country. Costa Rica has demonstrated remarkable dedication and commitment throughout this process, and we look forward to collaborating on projects of mutual interest for our countries.”   New Zealand’s Minister for Trade Hon. Todd McClay said, “New Zealand is pleased that Costa Rica is on track to become the DEPA’s next member. Costa Rica shares our commitment to progressive, high-quality digital trade rules and aligns with DEPA’s vision. Their accession will strengthen DEPA as a leading agreement and attract other like-minded economies with similar ambitions in the digital economy."   Singapore’s Deputy Prime Minister and Minister for Trade and Industry Gan Kim Yong said,  “As the second aspirant economy to accede to the DEPA, Costa Rica will add to the dynamism and diversity of the Agreement, reinforcing the DEPA’s standing as an open, relevant, and inclusive plurilateral agreement for digital trade rules. Singapore, together with DEPA Parties, looks forward to collaborating with Costa Rica to foster an enabling environment for digital trade to thrive. I welcome Costa Rica as the fifth Party to the DEPA and look forward to our continued partnership.”   The Republic of Korea’s Minister for Trade Cheong Inkyo said, “Korea is delighted to see the successful conclusion of substantive discussions for Costa Rica’s accession to the DEPA. This milestone highlights the growing importance of the DEPA in shaping global digital trade rules and enhancing cooperation. We expect that Costa Rica’s accession to the DEPA will unlock new opportunities for digital trade cooperation between DEPA member countries and Costa Rica.”   Costa Rica’s Minister of Foreign Trade Manuel Tovar said, “Costa Rica’s successful conclusion of accession negotiations to the DEPA marks a date2025-01-24