South Korea-UAE Relations Strengthen With Trade Agreements And Industrial Partnerships

The ongoing 13th Ministerial Conference (MC13) of the World Trade Organisation (WTO) in Abu Dhabi serves as a pivotal platform for South Korea to enhance its relationship with the UAE, according to Cheong Inkyo, South Korean Minister of Trade. In an interview with the Emirates News Agency (WAM), Minister Inkyo highlighted the significance of the conference in fostering future-oriented cooperation and high-level exchanges between South Korea and the UAE, particularly through the 'Strategic Advanced Industrial Technology Partnership'.

Minister Inkyo underscored the importance of identifying and implementing concrete cooperation projects in sectors such as mobility, aerospace, digital transformation, and supply chains. He leads the South Korean delegation at MC13, emphasizing the role of this international gathering in strengthening bilateral ties.

Furthermore, Minister Inkyo pointed out the completion of negotiations on the Comprehensive Economic Partnership Agreement (CEPA) between Korea and the UAE last October. The agreement aims to deepen bilateral trade and investment, awaiting swift enforcement. During the Korean President's State Visit to the UAE in January 2023, both nations signed 32 commercial Memorandums of Understanding (MoUs) worth US$6.1 billion and announced Mubadala's US$30 billion investment, marking a significant expansion in their cooperation beyond nuclear energy and defence to include clean energies, new industries, trade, and investment.

At MC13, discussions on Joint Statement Initiatives (JSIs) were highlighted by Minister Inkyo as crucial for promoting and modernizing WTO's negotiation function. JSIs serve as plurilateral negotiating tools on specific issues, aiming to improve the global investment climate through initiatives like investment facilitation for development. South Korea plays a coordinating role in this JSI, striving for tangible outcomes.

Minister Inkyo also expressed support for progress on the JSI concerning e-commerce, emphasizing its importance for governing digital transformation. He hopes for its swift conclusion within the year, reflecting on similar initiatives from WTO's 11th Ministerial Conference in December 2017 that focused on e-commerce, investment facilitation, MSMEs, and domestic regulation in services trade.

Urgency of WTO Reform

The necessity of WTO reform was another critical issue addressed by Minister Inkyo. He stressed the importance of a fully functioning dispute settlement system and ongoing negotiations related to fishing. The extension of the moratorium on e-commerce is supported by Korea to maintain a predictable digital business environment. Additionally, discussions at MC13 on trade and industrial policies are vital to prevent protectionist measures and subsidy races that could lead to trade disputes and distort global trade and investment.

Addressing climate change is also a priority for Minister Inkyo, who advocates for enhancing trade's role in accelerating green transformation while ensuring that climate and environmental measures do not become trade barriers. Despite challenges in achieving outcomes at MC13, he remains optimistic about WTO's ability to deliver substantial results for the international community.

With inputs from WAM