Yoon vows to create mutually beneficial supply chain in announcement to join IPEF

May 24, 2022, 09:30 am

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President Yoon Suk-yeol heads to his presidential office in Yongsan, Seoul, on May 23, 2022./ Source: Yonhap

AsiaToday reporter Lee Wook-jae

President Yoon Suk-yeol said Monday that South Korea will build a mutually beneficial supply chain as a nation having core competencies in high-tech industries such as chips, batteries and future vehicles, at the videoconference of the U.S.-led Indo-Pacific Economic Framework (IPEF).

Yoon attended the IPEF inauguration summit held in Tokyo, Japan, and suggested the direction for South Korea’s cooperation in the economic alliance, saying, “The Republic of Korea achieved rapid growth and development on the foundation of a liberal democracy and a market economy system.”

“The world is currently facing the pandemic, supply chain disruptions, climate change, food and energy insecurity and other numerous crises. No single country can tackle these tough challenges alone. Solidarity and cooperation among countries around the world is more necessary than ever,” he said. “In such difficult circumstances, the launch of the IPEF is very meaningful for the common prosperity of the countries in the region. South Korea will share these experiences and cooperate across all sectors covered under the IPEF.”

On the direction of the country’s cooperation, he mentioned the country’s supply chain, saying, “For an effective response to the global supply chain crisis, it is imperative that we have a global coordination mechanism.”

“South Korea is the world’s first country to have commercialized 5G and its advanced telecommunication technologies. It is leading technological innovations in artificial intelligence, data and 6G, and will contribute to building digital infrastructure and reducing digital gaps,” Yoon said. For clean energy and decarbonization, he said South Korea will use its advanced technology in nuclear energy, hydrogen, and renewable energy to establish carbon-reducing infrastructure and develop technologies through bold investments.

“I believe today’s launch of IPEF is a meaningful first step in demonstrating the solidarity and will to cooperate of countries in the region amid a fast-changing economic environment,” Yoon said. “I look forward to IPEF being pursued under the principles of openness, inclusivity and transparency.”

“Let’s work together for an era of prosperous Indo-Pacific region. South Korea will fulfill its responsibility based on strong solidarity.”

The IPEF is a new trade cooperation body participated by a total of 13 countries, including South Korea, the United States, Japan, Australia, New Zealand, India, Singapore, Malaysia, Philippines, Indonesia, Vietnam, Thailand, and Brunei Darussalam.

Some are concerned of China’s possible ‘economic retaliation’ as Chinese Foreign Minister Wang Yi said the IPEF is a “strategy for creating divisions and inciting confrontation” on the previous day. However, the South Korean government considers that the risk from China is low as the two countries are fully cooperating, such as participating in the China-led Regional Comprehensive Economic Partnership (RCEP).

#Yoon Suk-yeol #IPEF #supply chain