Ministry of Trade Industry and Resources

Korea’s exports resume growth in February

The Ministry of Trade, Industry and Energy (MOTIE) of the Republic of Korea announced on March 1 that Korea’s exports and imports for the month of February 2025 increased 1.0 percent and 0.2 percent year-on-year, respectively, to USD 52.6 billion and $48.3 billion. The trade balance stood at a surplus of $4.3 billion. By item, semiconductors (down 3.0 percent to $9.6 billion) suffered a downtick despite the solid performance of high-bandwidth memory (HBM) chips and DDR5s, as the fixed price of general-purpose memory chips like DDR4s and NAND flash plunged. Meanwhile, computers (solid-state drives) grew for the 14th consecutive month (up 28.5 percent to $0.8 billion) and wireless communication devices turned to an expansion (up 42.3 percent to $1.5 billion).  Automobile exports (up 17.8 percent to $6.1 billion) snapped their three-month losing streak, fueled by demand for hybrid electric vehicles (HEVs) (up 74.3 percent to $1.3 billion) and bio-health exports (up 16.1 percent to $1.4 billion) were driven by the steep climb achieved by biopharmaceuticals (up 45.5 percent to $0.6 billion). Exports to four out of Korea’s nine major destinations saw growth in February. To China (down 1.4 percent to $9.5 billion), robust demand for wireless communication devices and general machinery offset the slower exports of semiconductors. Exports to the U.S. inched up 1.0 percent to $9.9 billion. Exports to ASEAN hit $9.6 billion (up 12.6 percent), the second highest for the month of February, led by semiconductors and petroleum products. Exports to India (up 18.6 percent to $1.7 billion) recorded an all-time high for the month and those to the Middle East (up 19.6 percent to $1.7 billion) also broke their three-month downward streak.   date2025-03-04

Korea and Japan Launch Mineral Resources Cooperation Dialogue

The Ministry of Trade, Industry and Energy (MOTIE, Minister Ahn Duk-geun) and Japan's Ministry of Economy, Trade and Industry (METI) held the first Korea-Japan Mineral Resources Cooperation Dialogue in Tokyo on February 27, 2025, to begin active bilateral cooperation aimed at stabilizing the critical minerals supply chains essential for the development of advanced industries. At today’s meeting, MOTIE’s Director General for Resources Industry Policy Yoon Chang-hyun and METI’s Deputy Director-General for Manufacturing Industries Hideyuki Urata discussed the two countries’ critical minerals policies, critical minerals stockpiling cooperation, and measures for joint production in third countries. Given that both Korea and Japan operate critical minerals stockpiling systems as part of their economic security policies, the two sides agreed to establish a system for close cooperation in responding to global critical minerals supply chain risks. They also agreed to boost cooperation on the joint development and production of critical minerals in third countries to decrease supply chain risks by supporting collaboration between private-sector businesses and relevant institutions in the two countries. Moreover, both sides will work to establish international norms for critical minerals and stabilize supply chains by strengthening joint policy efforts through the Mineral Security Partnership (MSP) and the International Energy Agency (IEA). They will also develop joint strategies for responding to global supply chain risks. As Korea and Japan are major critical minerals importers with similar industrial structures and strengths in advanced industries such as semiconductors and batteries, the two countries expect considerable synergy from cooperation in critical minerals supply chains. They plan to continue expanding their scope of strategic cooperation through the Korea-Japan Mineral Resources Cooperation Dialogue and other channels to respond effectively to global supply chain crises. date2025-02-27

Korea and Australia to Expand Business Cooperation in Climate, Energy, and Supply Chains

The Ministry of Trade, Industry and Energy (MOTIE, Minister Ahn Duk-geun) held the Korea-Australia Green Economy Partnership Arrangement (EPA) Business Forum in Seoul on February 26, 2025. The Forum was held as follow-up to the bilateral Green EPA signed by the two countries’ relevant ministries in December 2024.  Held to expand business cooperation in climate, energy, and supply chain areas, today’s Forum sought to create tangible joint business opportunities in clean hydrogen, carbon capture, utilization, and storage (CCUS), and critical minerals. The Forum brought together major companies from both countries to review progress in clean energy cooperation, establishing the groundwork for wider and more concrete collaboration in the future. Given Korea and Australia’s central roles in the Asia-Pacific region’s clean hydrogen supply chain, the two sides explored joint measures to establish a stable hydrogen supply chain system and reviewed opportunities to participate jointly in global CCUS projects through the cross-border carbon dioxide (CO2) transport and storage cooperation framework developed under the Green EPA. They also discussed measures to promote joint research to diversify critical minerals supply chains and increase joint investments in clean energy technology development. Korea’s Minister for Trade Cheong In-kyo expressed hope that the two countries would produce tangible results in the global clean energy market by combining Korea’s clean energy technology and Australia’s abundant resources.  Australian Ambassador to the Republic of Korea Jeff Robinson highlighted that the bilateral Green EPA would help the two countries catalyze energy transitions, strengthen supply chains, and boost economic opportunities. Building on the Forum, MOTIE plans to continue supporting Korean companies seeking to participate in global clean energy projects and pursue other opportunities for overseas cooperation. date2025-02-26

KNCP to Proceed with Mediation in Complaint Against Oxy Reckitt Benckiser

The Ministry of Trade, Industry and Energy (MOTIE, Minister Ahn Duk-geun) held this year’s first Korean National Contact Point (KNCP) Committee meeting on February 25, 2025, and announced the results of its initial assessments of two complaints filed under the OECD Guidelines for Multinational Enterprises.  Concerning the complaint filed by a UK non-governmental organization (NGO) against Korean exporter Company “A,” the KNCP determined that there was little need to proceed to mediation and decided to dismiss the complaint, thereby closing the case. With regard to the complaint filed against humidifier disinfectant manufacturer and seller Oxy Reckitt Benckiser, the KNCP decided to proceed with mediation. The complaint was filed by two Korean consumers alleging violations related to human rights and consumer protection. After reviewing the statements and materials submitted, the KNCP determined that it is necessary to arbitrate the dialogue between concerned parties and initiate the mediation process. Going forward, the KNCP plans to form a mediation committee composed of private sector KNCP members and proceed with mediation on the basis of relevant parties’ voluntary participation. Should the parties reach an agreement, the KNCP will announce the mediation outcomes. Should the parties fail to reach an agreement, the KNCP will issue a final statement containing its recommendation and close the case. date2025-02-25

Korea’s retail industry advances 11.7% in January

The Ministry of Trade, Industry and Energy (MOTIE) announced today that Korea’s retail industry grew 11.7 percent year-on-year in the month of January 2025, with offline and online sales advancing 8.8 percent and 14.6 percent, respectively. MOTIE's monthly retail sales figures are based on surveys of 23 major retailers. Thirteen of them are brick-and-mortar retailers: three department store chains, three hypermarket chains, three convenience store chains, and four super supermarket (SSMs) operators. The remaining 10 are online retailers. By offline retail channel, hypermarket sales jumped 16.1 percent as Seollal holiday demand spurred sales across all categories, centering on food products (up 19.1 percent), home appliances/culture (up 7.5 percent), and home/living (up 8.2 percent). Department store sales climbed 10.3 percent on the backs of Seollal gift purchases, led by foreign designer labels (up 17.3 percent), food products (up 24.9 percent), and kids/sports (up 9.3 percent). Convenience store sales inched up 1.7 percent, with food products (up 2.5 percent) and nonfood products (up 0.9 percent) both increasing, whereas instant food products (down 5.0 percent) shrank for the first time since last year’s Chuseok holidays in September 2024. SSM operators rose 4.8 percent as food products (up 5.1 percent) and nonfood products (up 1.4 percent) both grew, thanks to higher demand for home dining and kitchenware during the Seollal holidays. Online retail sales (up 14.6 percent) enjoyed robust demand for food products (up 19.6 percent), cosmetics (up 7.7 percent), and service/other (up 73.3 percent), fueled by purchases of Seollal holiday gift and e-coupons, rental services for water purifiers and other items, as well as the expansion of online platforms’ delivery services. Meanwhile, sales of fashion/clothing (down 12.8 percent), sports (down 11.9 percent), and home appliances/electronics (down 6.2 percent) continued to slow.   date2025-02-25

Korea and Vietnam to Strengthen Nuclear Power Cooperation

Minister for Trade, Industry and Energy (MOTIE) Ahn Duk-geun met with Vietnam’s Trade and Industry Minister Nguyen Hong Dien today in Seoul on February 25, 2025, to discuss measures to widen energy and trade cooperation. Vietnam is Korea’s largest trading and investment partner in AESAN and its third largest trading partner in the world following China and the U.S.. It is home to approximately 9,000 Korean companies. Today’s bilateral talks took place on the margins of Minister Nguyen Hong Dien’s visit to Korea for discussions on nuclear power cooperation, following Vietnam’s recent decision to resume its nuclear energy development.  During the meeting, the Vietnamese delegation outlined recent developments in the country’s nuclear power policy and proposed expanding nuclear energy cooperation between the two countries. The Korean delegation suggested to resume the bilateral director general-level nuclear industry dialogue channel, which has been on hiatus since 2017, for consultations on more concrete collaboration measures. In view of current uncertainties in the trade landscape, the two sides agreed to maintain close coordination and communication to mitigate business challenges Korean companies experience in Vietnam and to swiftly conclude negotiations on upgrading the Korea-Vietnam Free Trade Agreement (FTA) to facilitate customs clearance for exporters. They also decided to strengthen cooperation in supply chains through the critical minerals supply chain technology cooperation center project to be launched in 2025. date2025-02-25

Korea to Strengthen Energy Cooperation with Türkiye and Saudi Arabia

Deputy Minister for Energy Policy Lee Ho-hyeon at the Ministry of Trade, Industry and Energy (MOTIE, Minister Ahn Duk-geun) will visit the Republic of Türkiye and Saudi Arabia from February 24 to 27, 2025, for high-level intergovernmental talks on bilateral energy cooperation in areas including nuclear power, power grids, hydrogen, and petroleum. On February 24, Deputy Minister Lee is meeting with Turkish Deputy Ministers of Energy and Natural Resources Zafer Demircan and Ahmet Berat Çonkar to exchange views on various bilateral energy agendas, including nuclear power and clean energy. To secure a stable energy supply, Türkiye is seeking to build a 20GW nuclear reactor by 2050. In addition to implementing the Akkuyu nuclear power plant (NPP) project launched in 2010, the Turkish Ministry of Energy and Natural Resources is currently seeking contractors for new nuclear power projects in the Sinop and Thrace. The high-level visit will resume government-level dialogue on nuclear power between the two countries for the first time in 13 years and is expected to give momentum to further discussions. On February 26, Deputy Minister Lee will also meet with Saudi Arabia’s Assistant Minister of Energy for Electricity Affairs Nasser Al-Qahtani to discuss policy trends and bilateral cooperation regarding large-scale NPP projects, power grid expansions, and clean hydrogen. Saudi Arabia is diversifying its energy mix and transitioning to an energy system suitable for sustainable growth, creating considerable potential for collaboration with Korea over a wide range of energy sectors. “We will closely examine the policies adopted by countries to promote sustainable development and respond to climate change,” said Deputy Minister Lee. “We will also work to strengthen energy cooperation with Europe and the Middle East so that these efforts create new opportunities for Korean companies.” date2025-02-24

Minister Ahn Discusses Stronger Korea-U.S. Cooperation with U.S. Embassy Chargé d'Affaires ad Interim

Minister Ahn Duk-geun of the Ministry of Trade, Industry and Energy (MOTIE) held talks with Ambassador Joseph Yun, Chargé d'Affaires ad interim at the U.S. Embassy in Seoul, on February 21, 2025, to discuss measures to strengthen Korea-U.S. cooperation in trade, investment, and energy. The two sides also agreed to continue joint efforts to ensure the successful hosting of the Asia-Pacific Economic Cooperation (APEC) 2025 in Korea. Minister Ahn noted that Korea-U.S. relations have developed into an economic and advanced industrial alliance, supported by the steady expansion of bilateral trade and investment. He expressed hope that cooperation between the two countries would continue to expand and deepen under the new U.S. administration. Viewing that the Korea-U.S. partnership has strong potential to deepen cooperation in advanced sectors such as batteries, semiconductors, shipbuilding, and energy, Minister Ahn underscored the need to maintain consistency and stability in key policies and systems on both sides that could affect bilateral trade and investment. Chargé d'Affaires ad interim Yun responded that the U.S. Embassy would do its utmost to bolster the Korea-U.S. alliance, which has developed deep ties in security, the economy, and other areas over the past 70 years. The Korean government plans to maintain close consultation with the U.S. government while monitoring the new administration’s trade and economic measures and their potential impact on bilateral trade and investment. date2025-02-21