On Tuesday, South Korean President Yoon Suk Yeol said the South Korean-U.S. alliance must “leap into a new phase” to face complex issues, including slowing economic development, technology rivalry with strategic adversaries, and climate change.
Yoon told the U.S. Chamber of Commerce a day before a Washington summit with President Joe Biden that the bilateral security alliance should “evolve into a supply chain and future-oriented, innovative-technology alliance.”
He said the two countries economies had new problems, and the economic slump was an upsetting investment.
“Competition for technological hegemony, energy issues, and climate crises are casting more uncertainties on business activity day by day,” Yoon stated.
Yoon added that South Korea now produces 60% of the world’s memory semiconductors from a 1965 joint venture with a U.S. business.
“This cooperation should extend beyond semiconductors to future emerging technologies such as A.I., Quantum, SMR (Small Modular Reactors), and more,” Yoon stated.
He predicted “enormous synergies that will benefit both countries” from U.S. core technology and South Korea’s superior manufacturing.
Yoon believed his visit would reinforce their role as genuine friends and sophisticated technology partners to develop creative commercial prospects.
“Our bilateral investments must be increased quantitatively and qualitatively to build more stable and resilient supply chains.”
He called the two nations “friend-shoring” partners, referring to a U.S.-led effort to reduce dependency on China for crucial commodities and resources.
Yoon said his government was creating a fair and predictable market, offering large tax incentives, and improving rules to encourage daring U.S. investments.
“The Republic of Korea and the United States have been painting a wonderful rough sketch together for the past 70 years,” he remarked. “The next 70 years together will be a journey of filling the rough sketch with well-matched colors.”
Yoon travels abroad to be the nation’s “No. 1 salesman,” emphasizing corporate diplomacy.
Yoon’s chief economic secretary, Choi Sang-mok, claimed Seoul had received $5.9 billion from eight U.S. corporations, including $2.5 billion from Netflix (NFLX.O) and $1.5 billion from Corning Inc. (GLW.N).
Air Products and Chemicals Inc (APD.N), Plug Power Inc (PLUG.O), ON Semiconductor Corp, Greene Tweed & Co Inc, Purecycle Technologies Inc, and EMP Belstar committed $1.9 billion during the event.
“Celebrating the 70th anniversary of the alliance, we were able to see at a glance that an advanced supply chain and technology alliance between the two countries was already being strengthened and established,” Choi told a briefing.
Yoon was joined by more than 120 executives from South Korea’s major firms, including Samsung Electronics (005930. KS) Executive Chairman Jay Y. Lee and Hyundai Motor Group Executive Chair Euisun Chung.
On Tuesday, General Motors Co (GM.N) and Samsung SDI (006400. K.S.) announced plans to establish an electric vehicle battery facility in the U.S. for more than $3 billion.
Hyundai Motor Co (005380. K.S.) announced a $5 billion U.S. electric vehicle battery joint venture with SK On, a battery arm of S.K. Innovation Co Ltd (096770. K.S.).
