Ministry of Trade, Industry and Energy

South Korea’s FDI Trends in the First Half of 2015

    □ Foreign direct investmentFDI) to South Korea in the first half of 2015 decreased 10 percent from the first half of 2014. The declared amount fell 14.2 percent to $ 8.87 billion and the received amount fell 19.8 percent to $ 6.06 billion from a year earlier. In spite of the YoY downturn, the numbers still posted the second-highest results after 2014, led by signs of investment recovery in the second quarter of 2015.   □ - Potential negative factors are the impact of the Middle East Respiratory Syndrome (MERS) and an economic contraction in Europe originating in Greece. Despite the negative factors, signs of a recovery in investments are likely to continue, due to the high interest of overseas investors in the central government's approval of the construction of two large-scale integrated resorts in the second half of 2015 and aspiration on improved investments from China by the implementation of the Korea-China FTA.   - South Korea plans to achieve $ 20 billion in FDI for the first time in 2015. To this end, the country will support promising areas such as integrated resorts, cultural content, and parts and materials production, through one-on-one consultation meetings between small and medium-sized enterprises and overseas investors, and investment attraction activities with high-ranking government officials including ministers and vice-ministers. It will also hold small-scale, custom-tailored IR sessions, which will include inviting major potential investors to South Korea, and joint IR sessions held by domestic companies and regional governments.   date2015-07-08

Automobile Industry Trends in the First Half of 2015

    □ Domestic sales of South Korean automobiles in the first half of 2015 increased by 6.2 percent from a year earlier. Automobile production and exports decreased by 0.9 percent and 3.0 percent, respectively.   □ : Production decreased by 0.9 percent from a year earlier to 2,321,840 units, despite a rise in domestic sales. This was mainly attributable to a decline in exports, especially to emerging markets suffering from slowing economies.   □ : Home-based sales increased by 6.2 percent from a year earlier to 857,169 units. Sales of multi-purpose and imported vehicles were especially strong.   - Sales of domestically-produced cars rose by 3.4 percent from a year earlier to 727,155. Multi-purpose vehicles, such as SUVs and mini-vans, were in especially high demand.   - Sales of imported cars maintained their high rate of growth, recording their largest-ever sales in the first half of 2015.   □ : Exports decreased by 3.0 percent from a year earlier to 1,551,982 units. This was mostly attributable to economic slowdowns in emerging markets and lowered price competitiveness following the depreciation of the yen and the euro. It also happened in spite of higher exports to North America.   date2015-07-06

Sales Trends by Major Retailers in May 2015

  □ The sales by major retailers, including those of hypermarkets, department stores and convenience stores, rose from a year earlier, while those of super supermarkets fell in May 2015. □ The sales of hypermarkets and department stores increased for two consecutive months while that of convenience stores increased drastically for four consecutive months. □By product group, the sales of food, clothing, popular brands items and others increased.   date2015-06-30

Automobile Industry Trends for May 2015

    □ The volume of South Korean automobile production and exports decreased by 2.1 percent and 3.1 percent, respectively, while domestic sales increased by 2.3%. This was attributed to recession in emerging markets such as Eastern Europe, Middle East, and Latin America, Yen and Euro depreciation, and strong sales of multi-purpose vehicles in the domestic market.   □ : Production decreased by 2.1 percent from a year earlier to 365,643 units. This fall was mainly attributable to reduced domestic sales and exports.   □ : Domestic sales increased by 2.3 percent from a year earlier to 140,538 units. This was attributable to increased demand in multi-purpose vehicles such as Tucson, Sorento, Carnival, and Tivoli.   - Sales of imported cars increased by 17.8 percent from a year earlier to 20,589 units.   □ : Exports decreased by 3.1 percent from a year earlier to 246,093 units. This was mainly attributable to weakened competitive edge due to Yen and Euro depreciation and demand contraction in emerging markets such as Russia and Latin America.   date2015-06-30

30 SMEs to receive R&D support to become global

The Ministry of Trade, Industry and Energy (MOTIE) announced on June 30 that the MOTIE and SMBA have jointly singled out 30 SME's to help them become the champions of tomorrow.     Comprised of 11 medium-sized enterprises and 19 small businesses, the 30 companies posted 106.4 billion won ($ 96 million) in annual sales and averaged $ 59 million in exports. Fourteen of them are located in Seoul while the other sixteen are located in other regions.     Eleven of them are electro date2015-06-30

Korea and Japan hold talks over import regulations on Japanese fisheries products

The Ministry of Trade, Industry and Energy (MOTIE) announced on June 26 that Korea and Japan held talks over Japanese fisheries products between June 24 and 25 at the WTO office in Geneva Switzerland, but only ended up checking the differences in views on the issue.     At the meeting, Japan repeatedly requested that Korea should immediately lift the ban because the action contradicts the transparency and scientific basis as required by the WTO SPS agreement.     In return, t date2015-06-26

Korean LCH and LAH to be ready by 2020 and 2022, respectively

The Ministry of Trade, Industry and Energy and Defense Acquisition Program Administration announced on June 25 that they will develop LCH (Light Combat Helicopter) by 2020 and LAH (Light Armed Helicopter) by 2022, after signing a contract with the Korea Aerospace Industries.     According to the contract, the MOTIE will first develop the parts and helicopter for both private and military use, and then the Defense Acquisition Program Administration will modify the helicopter to be used date2015-06-25

Korean companies to meet with global European companies including Benz for technology partnership

The Ministry of Trade, Industry and Energy (MOTIE) announced on June 22 that Korean companies will hold talks with leading European companies such as Benz, Volkswagen, Volvo and Airbus on issues of cooperation at the 'Overseas Technology Connect for Ppuri Industries' held by the MOTIE and KOTRA on June 23 and 24 in Frankfurt, Germany.     The purpose of the event is to provide outstanding Korean companies with an opportunity to meet global companies so that they can make entry into the date2015-06-22