New delhi: President Lee Jae Myung on Monday emphasized the need to more than double the trade volume between South Korea and India, highlighting the potential for growth in advanced technologies and shipbuilding sectors.
According to Yonhap News Agency, President Lee addressed a business forum in New Delhi shortly after his summit with Indian Prime Minister Narendra Modi. He stressed the necessity of strengthening economic ties to overcome challenges posed by the evolving global trade landscape. "The bilateral relationship is entering a new phase, while shared challenges we must address together, such as the restructuring of global supply chains, digital transformation and the climate crisis, are increasing," Lee stated. He urged both nations to move beyond traditional approaches and adopt a more advanced framework for cooperation.
Lee pointed out that the current trade volume does not reflect India's economic scale, which ranks as the fourth largest globally. He urged both countries to utilize India's dynamic market as a new growth engine to potentially double the trade volume. During the summit, South Korea and India agreed to resume negotiations to enhance their Comprehensive Economic Partnership Agreement (CEPA), aiming to increase bilateral trade from the current $25 billion to $50 billion by 2030.
The President highlighted the opportunity for synergy if India's strengths in artificial intelligence and software are combined with South Korea's expertise in manufacturing semiconductors, batteries, automobiles, and shipbuilding. He expressed optimism for future cooperation in shipbuilding following an MOU to initiate joint shipyard construction.
The forum convened prominent business leaders from both countries, including Samsung Electronics' Lee Jae-yong, Hyundai Motor's Euisun Chung, and LG Group's Koo Kwang-mo. Indian business figures like Vijay Sankar of the Sanmar Group and Ravi Ruia were also present. On the forum's sidelines, approximately 20 MOUs were signed to bolster collaboration between South Korean and Indian enterprises, as reported by Cheong Wa Dae.
Among the agreements, Korean steelmaker POSCO Holdings entered into a joint venture with India's JSW Group to establish an upstream steel facility valued at nearly $7.3 billion. In the energy sector, GS Engineering and Construction signed an MOU with Indian energy firm ARI Energy for a wind turbine repowering project worth 920 billion won ($623.4 million).
Furthermore, HD Korea Shipbuilding and Offshore Engineering partnered with the Indian Institute of Technology Madras to collaborate on AI-driven manufacturing technologies for smart shipyards. Additional MOUs included a development agreement for three-wheeled electric vehicles between Hyundai Motor Company and TVS Motor Company, and a digital mapping services deal between Naver and Tata Consultancy Services.