Business bodies welcome outcome of summit

Major business associations in South Korea welcomed the outcome of President Moon Jae-in’s visit to the US, and praised announced partnerships on strategic business areas including semiconductor chips and batteries.

The Federation of Korean Industries, a major business lobbying group here, issued a statement on Sunday on the business agreements made over the weekend in line with President Moon’s summit talks with his US counterpart Joe Biden.

“We view the agreement of the two countries to cooperate on semiconductor investment, advanced technology, and distribution channels as a very valuable achievement. We also agree with the direction the alliance is heading, going further over defense to cover business,” the statement read.

The FKI also said it sees promise in the partnership forged between the two countries on COVID-19, and wished the best for their joint efforts to support the world in overcoming difficulties caused by the pandemic.

The Korea Enterprises Federation and the Korea International Trade Association released similar statements.

“It is a meaningful result that South Korea and the US have agreed to cooperate to restore the global supply chain of chips, batteries, key materials and drugs as well as to deepen partnership on new technologies, amid the rise of economic nationalism,” the KEF said.

“The enterprise circle will also make best efforts so that the achievement from the summit leads to tangible plans, and helps (the country) overcome the economic crisis triggered by the COVID-19 pandemic.”

Agreements made between the two sides to establish a distribution network for the manufacturing sector involving semiconductors and electric vehicle batteries was a “fruitful result,” KITA said, as their supply shortage has hit industries around the globe.

“We wish for the two countries to become No. 1 partners to lead the fourth industrial revolution and the era of digital transformation,” KITA said in the statement.

The Korea Chamber of Commerce and Industry highlighted Chairman Chey Tae-won’s economic diplomacy, as he accompanied Moon to the US, meeting with various industry officials and leaders to encourage cooperation with South Korea.

Not only was it Chey’s first trip as the newly appointed KCCI chief since March, but he was the only head of a Korean economic organization to take part in the delegation, as the government sought to organize a small group to join the summit trip amid concerns over the COVID-19 pandemic.

On Friday, Chey joined the Korea-US Business Roundtable alongside Moon, where he spoke with Joshua Bolten, the president and chief executive of the Business Roundtable, an association of CEOs of leading US companies.

Chey also met with leaders from major economic organizations and think tanks, including the Information Technology Industry Council and Atlantic Council, to build his network, the KCCI said.

“During his visit to the US, Chey utilized his US network to encourage business cooperation between the two countries,” said Kang Seok-gu, the head of the organization’s international affairs division.

“Following the summit visit, KCCI will continue to create ways to work together with the US in various economic sectors, including trade, investment and joint research and development.”

By Jo He-rim (herim@heraldcorp.com)