Seoul: South Korea's newly appointed chief trade negotiator has committed to making a comprehensive effort to manage potential risks in trade relations with Washington amidst a significant transition in the global order, as reported by the trade ministry on Monday.

According to Yonhap News Agency, in his inaugural address, Trade Minister Park Jung-sung highlighted that tariffs, subsidies, industrial policies, supply chain alliances, and export controls are becoming pivotal tools in shaping the global trade framework. His appointment comes at a critical time as South Korea and the United States are negotiating their first investment project under South Korea's substantial $350 billion investment commitment, a part of a trade deal agreed upon last year.

Minister Park emphasized the ongoing tariff restructuring by the U.S. and its initiative to localize strategic industries, marking strategic competition between the U.S. and China as a lasting element in the global trade landscape. He noted that implementing strategic investment projects between Seoul and Washington stands as both the greatest challenge and opportunity in their bilateral relations.

The South Korean government aims to establish a new framework for bilateral cooperation with the U.S., akin to the existing free trade agreement (FTA) between the two nations, through strategic investment dialogues. Minister Park underscored the importance of crafting a trade policy that bolsters irreplaceable industries such as semiconductors, nuclear power, and shipbuilding in the global supply chains, while also securing hard-to-replace technologies.

Furthermore, the government is keen on nurturing new industries with high growth potential in global markets, including Korean cultural content, consumer goods, and sectors integrating artificial intelligence (AI). The ministry noted that South Korea is experiencing rapid growth in annual exports, with figures rising from approximately $700 billion and approaching the $1 trillion mark.

Minister Park concluded by stressing the economic security realities, stating that countries with irreplaceable industries are favored, whereas those with replaceable industries face difficult decisions.