Ministry of Trade Industry and Resources

Signing Ceremony for the Conclusion of Korea–Serbia CEPA Negotiations

Minister for Trade Yeo Han-koo of the Ministry of Trade, Industry and Resources (MOTIR, Minister JK Kim) attended the signing ceremony for the conclusion of negotiations for the Korea–Serbia Comprehensive Economic Partnership Agreement (CEPA) in Belgrade, Serbia, on June 5, 2026.  The ceremony was attended by government delegations from both countries, including Jagoda Lazarević, Serbia’s Minister of Domestic and Foreign Trade. At the ceremony, Minister Yeo delivered opening remarks and signed a joint declaration officially declaring the conclusion of Korea–Serbia CEPA negotiations. The two sides shared the view that the agreement will create a foundation for expanding bilateral trade and investment and further strengthen their strategic partnership. date2026-06-08

Meeting with French Companies Operating in Korea

Minister for Trade Yeo Han-koo of the Ministry of Trade, Industry and Resources (MOTIR) attended a meeting with French companies operating in Korea, including Air Liquide and TotalEnergies, in Paris, France, on June 4, 2026. The meeting brought together representatives from major French companies operating in Korea. Minister Yeo delivered opening remarks and listened to their views on expanding bilateral economic cooperation and improving the business environment in Korea. date2026-06-05

Meeting with the IDB Vice President for Countries

Minister for Trade Yeo Han-koo of the Ministry of Trade, Industry and Resources (MOTIR) met with Anabel González, Vice President for Countries at the Inter-American Development Bank (IDB), on the margins of the 2026 OECD Ministerial Council Meeting in Paris, France, on June 4, 2026. The two sides discussed ways to expand trade and investment cooperation between Korea and Latin America and broaden official development assistance (ODA) projects between MOTIR and the IDB. date2026-06-05

Meeting with Brazil’s Minister of Foreign Affairs

Minister for Trade Yeo Han-koo of the Ministry of Trade, Industry and Resources (MOTIR) met with Mauro Vieira, Brazil’s Minister of Foreign Affairs, on the margins of the 2026 OECD Ministerial Council Meeting in Paris, France, on June 4, 2026. The two sides discussed cooperation on critical mineral supply chains and shared the need to resume negotiations on the Korea-MERCOSUR Trade Agreement (TA). date2026-06-05

Korea and Serbia Conclude Comprehensive Economic Partnership Agreement

Minister for Trade Yeo Han-koo of the Ministry of Trade, Industry and Resources (MOTIR, Minister JK Kim) and Jagoda Lazarević, Serbia’s Minister of Domestic and Foreign Trade, officially declared the conclusion of negotiations for the Korea–Serbia Comprehensive Economic Partnership Agreement (CEPA) and signed a joint declaration in Belgrade on June 5, 2026. The two countries began pursuing CEPA negotiations following a meeting between their prime ministers in 2023. After launching negotiations in September 2024, they reached an agreement through the first formal round and a series of intersessional discussions. The agreement covers 12 chapters, including Trade in Goods, Rules of Origin, Customs and Trade Facilitation, Intellectual Property, Technical Barriers to Trade (TBT), and Economic Cooperation. Serbia is a key economy in the Western Balkans, with a manufacturing base in sectors such as automobiles and machinery, strong human resources, a location adjacent to the EU, and an extensive FTA network. As rising costs at major production hubs in Eastern Europe have recently drawn attention to Serbia as a new partner for manufacturing and investment, the need has grown for an institutional foundation to expand bilateral trade and investment and to strengthen economic cooperation. The Korea–Serbia CEPA is Korea’s first free trade agreement with a Balkan country. The agreement secures market access for major Korean exports, including semiconductors, electric vehicles, and automotive parts, while creating a stable and predictable business environment for companies from both countries. It eliminates tariffs on more than 90 percent of tariff lines, covering 96 percent of import value for both sides, exceeding the level of liberalization achieved under the China–Serbia FTA, which entered into force in 2024. Trade Minister Yeo Han-koo stated, “The conclusion of the Korea–Serbia CEPA will serve as an opportunity to elevate economic cooperation with Serbia, our key partner in the Western Balkans, to a new level. At a time of rapidly changing global trade conditions marked by the spread of protectionism and the restructuring of global supply chains, this agreement is significant not only because it opens markets, but also because it establishes a platform for cooperation in future industries, including supply chains, energy and minerals, and AI and biotechnology. We will move forward with the necessary follow-up procedures without delay so that businesses and citizens in both countries can begin to experience the benefits of the agreement as soon as possible.” Serbia agreed to eliminate tariffs on semiconductors and electronic products, which had previously been subject to duties of up to 25 percent due to Serbia’s non-participation in the WTO Information Technology Agreement. The CEPA also secures market access for electric and hybrid vehicles and immediately eliminates tariffs on all automotive parts. Tariffs on Korean consumer products, including food and beauty products, will also be eliminated. In addition, improved market access was secured for medical devices, pharmaceuticals, and defense products. The agreement is also expected to strengthen Korea’s supply chain resilience by eliminating tariffs immediately or within five years on key Serbian exports such as lithium, cobalt, nickel, graphite, and rare earth elements, which are essential inputs for advanced industries, including rechargeable batteries and semiconductors. Meanwhile, in exchange for conceding tariffs on corn for feed and processing—which accounts for more than 40 percent of Serbia's exports to Korea—through immediate and 10-year elimination respectively, Korea minimized market liberalization for sensitive agricultural and livestock products, such as rice, natural honey, fruits including strawberries and other berries, meat, and dairy, thereby achieving a mutual date2026-06-05

Korea, Saudi Arabia Strengthen Cooperation on Stable Supplies of Crude Oil and Naphtha, and Plant Projects

Vice Minister Moon Shin-hak of the Ministry of Trade, Industry and Resources (MOTIR, Minister JK Kim) met with Mohammed Y. Al Qahtani, Downstream President of Aramco, Saudi Arabia’s state-owned oil company, in Seoul on June 5, 2026. They discussed how to strengthen medium- and long-term resource security cooperation, including stable supplies of crude oil and naphtha, and expand cooperation on plant construction projects. The meeting took place during Al Qahtani’s visit to Korea. As Downstream President, he oversees Aramco’s downstream operations, including refining, petrochemicals, global investment, and trading. Vice Minister Moon expressed deep appreciation to Saudi Arabia for working closely with Korea since President Lee Jae Myung’s Special Envoy for Strategic Economic Cooperation visited the country in April to support stable supplies of key resources, including crude oil and naphtha. He also asked Aramco for continued engagement and cooperation so Korea can secure timely access to essential energy resources in the event of any future supply disruption. The two sides also discussed possible cooperation using strategic petroleum reserves and crude oil storage infrastructure to strengthen both countries’ capacity to respond to resource security risks. They agreed to continue identifying additional areas for cooperation. Vice Minister Moon noted Aramco’s central role in major energy projects in Saudi Arabia, including oil, gas, and petrochemicals. He asked for Aramco’s continued interest and cooperation to expand opportunities for Korean companies with world-class technology and project delivery capabilities to participate in Aramco projects. MOTIR will maintain close channels of communication with Aramco to strengthen cooperation on resource security, including crude oil supplies, and continue supporting Korean companies’ efforts to win plant contracts in the Middle East. date2026-06-05

Korea to Build Secure System for Storing and Using Manufacturing Data, a Key Strategic Asset in the AI Era

High-quality manufacturing data and the infrastructure to store and use it are essential to successful AI transformation in manufacturing. The Ministry of Trade, Industry and Resources (MOTIR, Minister JK Kim) held the third M.AX (Manufacturing AI Transformation) Expert Conference on June 5, 2026, to mark the administration’s first anniversary. The conference brought together manufacturing AI experts from industry, academia, and research institutions under the theme “Manufacturing Data, AI Models, and Infrastructure: The Keys to Successful M.AX.” Participants discussed the role of manufacturing data in M.AX and the AI models and infrastructure needed to secure and use high-quality data. Progress to Date As global AI competition intensifies, the success of M.AX depends on close cooperation among manufacturers, AI companies, academia, and research organizations. Korea’s world-class manufacturers and the high-quality data they hold are strategic assets in making the country a global leader in M.AX. The government is working to build a win-win environment and infrastructure needed for manufacturers and AI companies to develop manufacturing AI models that can be deployed directly at production sites. MOTIR is working through the M.AX Alliance, which brings together more than 1,500 manufacturers, AI companies, universities, and research organizations across 11 divisions, to secure manufacturing data and build an ecosystem for its use. The AI Factory Division is establishing a basis for using manufacturing process data through the AI factory project, which applies AI to manufacturing processes to improve productivity. It is also pursuing R&D to develop industry-specific foundation models and, through a new tacit-knowledge AI model project launched in June 2026, will accumulate data capturing the know-how of skilled workers across industries and processes. The AI Robotics Division is selecting flagship tasks where humanoids can be deployed and collecting motion data generated during development and demonstrations. The Autonomous Ship Division launched an AI data platform project in May 2026 to build infrastructure for securing real-world operational data from about 6,000 voyages, while the AI Future Mobility Division has begun developing a data pipeline to collect and process driving data alongside autonomous driving development and demonstrations. Plans Ahead Manufacturing data often contains critical intellectual property (IP), including core technologies and production know-how, as well as sensitive business information. Companies that provide such data therefore have strong concerns about possible leaks. To address this, MOTIR will build a manufacturing data library that will securely store, manage, and use data provided for follow-up R&D projects. Because the library will hold high-quality manufacturing data, MOTIR will put in place dedicated safeguards and procedures to prevent leaks and maintain security. Data may be used only in an isolated clean room and may not be taken outside, while access will be subject to a separate, strict review process. Until the manufacturing data library is completed, MOTIR is using the Manufacturing AI Solution Development Support Center, operated by the Korea Electronics Technology Institute (KETI), as an interim hub. Since May 2026, the ministry has been storing data collected through the AI factory project and other initiatives at the center. Using this data, MOTIR plans to develop a prototype manufacturing AI foundation model by the end of 2026 and work with M.AX Alliance participants to test its field application and performance. It will also continue securing product data and developing product AI models. The AI Robotics Division will collect robot behavior and training data through industrial-site demonstrations and the planned robot data factory, while the Autonomous Ship Division will link real-world voyage data, data already h date2026-06-05

Minister Yeo Leads OECD Talks on the Future of Industrial Policy and WTO Reform

Minister for Trade Yeo Han-koo of the Ministry of Trade, Industry and Resources (MOTIR, Minister JK Kim) represented Korea at the 2026 OECD Ministerial Council Meeting (MCM), held June 3–4, 2026, at OECD headquarters in Paris, as the government’s chief delegate and the lead representative of a vice-chair country. At the meeting, he discussed industrial policy approaches that can support open markets, growth, and prosperity with OECD member and partner countries. As Korea marks the 30th anniversary of its accession to the OECD, Minister Yeo helped lead discussions in three of the MCM’s six sessions: he delivered a keynote statement in the industrial policy session, gave lead remarks in the trade session, and chaired a group discussion in the investment session. Active Contributions to Global Discussions on Balanced Industrial Policy and WTO Reform (1) Korea’s Experience with M.AX, the Energy Transition, and the Five Mega-Regions and Three Special Self-Governing Provinces Initiative At the session on “Balancing the Goals and Impacts of Industrial Policy,” Minister Yeo said that supply chain instability, economic security concerns, the spread of AI and digital technologies, and the low-carbon transition are bringing industrial policy back into focus. He shared Korea’s key policy experience, including Manufacturing AI Transformation (M.AX), AI factories, and physical AI, and stressed that industrial policy should not replace markets but help spread new technologies and raise productivity. Minister Yeo also noted that recent developments in the Middle East have underscored the importance of energy security for energy-importing countries such as Korea. He said Korea is diversifying energy imports in the near term while pursuing an energy transition that balances renewable energy with nuclear power over the medium to long term. He also presented the regional growth-engine strategy under the Five Mega-Regions and Three Special Self-Governing Provinces initiative and emphasized the need for close cooperation with private-sector actors, including industry, academia, and research institutions. As industrial policies can have cross-border effects, he called for avoiding subsidy races, beggar-thy-neighbor policies, and zero-sum competition, and asked the OECD to serve as a platform for dialogue and peer learning based on empirical analysis. (2) The Importance of Aligning Trade and Industrial Policies On the second day, Minister Yeo attended the session on “Open Markets, Free and Fair Trade, and a Level Playing Field,” where he stressed that open markets and the rules-based trading system remain essential foundations for global growth and prosperity. He said trade and industrial policies should be designed and implemented in close coordination as governments make broader use of industrial policies. He also noted that subsidies can support green and digital transitions, the development of critical technology, and supply chain resilience. However, excessive subsidy competition can undermine fair competition and the order of open markets. Minister Yeo called on the OECD to work with the WTO and others to develop international standards and principles on transparency, proportionality, and the risk of market distortion. (3) Discussions on Investment for Sustainable Growth Minister Yeo chaired a session on investment for sustainable growth, where participants discussed how industrial policy can support the green transition and sustainable growth. The discussion focused on the development and deployment of clean and high-efficiency production technologies, as well as market-based incentives to promote clean technology innovation and private investment. Minister Yeo said the green transition can create opportunities for clean technology innovation and new growth engines over the long term, but may also weigh on industrial competitiveness in the short date2026-06-05

OECD MCM Session 1: Balancing the Goals and Impacts of Industrial Policy

Minister for Trade Yeo Han-koo of the Ministry of Trade, Industry and Resources (MOTIR) attended Session 1 of the 2026 OECD Ministerial Council Meeting (MCM), titled “Balancing the Goals and Impacts of Industrial Policy,” in Paris, France, on June 3, 2026. The session brought together trade ministers from OECD member countries, accession candidates, and key partners, including Finland and New Zealand. Minister Yeo shared Korea’s policy experience in Manufacturing AI Transformation (M.AX), AI factories, physical AI, the energy transition, and the Five Mega-Regions and Three Special Self-Governing Provinces initiative. Minister Yeo stressed that industrial policy should not replace markets but help spread new technologies and raise productivity. He also called for avoiding subsidy races, beggar-thy-neighbor policies, and zero-sum competition, and asked the OECD to serve as a platform for dialogue and peer learning based on empirical analysis. date2026-06-05

Informal WTO Trade Ministers’ Meeting

Minister for Trade Yeo Han-koo of the Ministry of Trade, Industry and Resources (MOTIR) attended an informal WTO trade ministers’ meeting, held as a side event of the 2026 OECD Ministerial Council Meeting in Paris, France, on June 3, 2026. The meeting brought together trade ministers from WTO members, including the United States, the EU, Japan, and China, to discuss ways to reform WTO decision-making. Minister Yeo said the WTO’s difficulty in reaching meaningful decisions should be turned into momentum for reform, and stressed the need to restore its rulemaking function in a changing trade environment shaped by digitalization and AI. date2026-06-05