Korea, Vietnam sign 73 MOUs for AI, infrastructure, energy

President Lee Jae Myung applauds with SK Group and Korea Chamber of Commerce and Industry Chairman Chey Tae-won, front row fourth from left, and other participants of the Korea-Vietnam Business Forum in Hanoi, Thursday. From left frow are LG Group Chairman Koo Kwang-mo, Samsung Electronics Executive Chairman Lee Jae-yong, Minister of Trade, Industry and Resources Kim Jung-kwan, Chey, President Lee and Vietnamese Prime Minister Le Minh Hung. Yonhap

Business leaders from Korea and Vietnam signed 73 memorandums of understanding (MOUs) in Hanoi, Thursday, during President Lee Jae Myung's state visit to the Southeast Asian country.

At a forum held on the sidelines of the president’s visit, businesses from the two countries agreed to expand partnerships in artificial intelligence (AI), infrastructure, energy, consumer goods and financial services.

SK Innovation and SK Telecom signed separate MOUs with the Vietnam National Innovation Center and the Nghe An provincial government, respectively, to establish AI infrastructure.

Daewoo E&C joined hands with Saigontel for a joint data center project.

In the rechargeable battery sector, POSCO Future M won an approval from the Thai Nguyen provincial government for the construction of a plant for artificial graphite anode materials.

Doosan Enerbility signed an MOU with two subsidiaries of Petrovietnam to cooperate in the nuclear energy sector, while Taihan Cable & Solution agreed with Newtecons to upgrade Vietnam's power grid and work together in the extra-high-voltage cable market.

With the president in attendance, the forum also addressed the establishment of ecosystems for AI and power industries, as well as the training of scientists and engineers for advanced sectors, through presentations by representatives from Samsung Electronics, SK Innovation, the Korea Institute of Science and Technology and the Korea Institute for International Economic Policy.

Participants included SK Group Chairman Chey Tae-won, who also heads the Korea Chamber of Commerce and Industry, as well as Samsung Electronics Executive Chairman Lee Jae-yong, LG Group Chairman Koo Kwang-mo and more than 500 business leaders and government officials from both countries.

A day earlier, 10 Korean conglomerate leaders attended a state dinner for the president.

Financial Services Commission Chairman Lee Eog-weon, right, talks with Korean conglomerate leaders during a state dinner for President Lee Jae Myung in Hanoi, Vietnam, Wednesday. From left are Samsung Electronics Executive Chairman Lee Jae-yong, Lotte Group Chairman Shin Dong-bin and SK Group Chairman Chey Tae-won. Yonhap

The Korean president urged forum participants to strengthen cooperation to navigate an uncertain global business environment and support growth in both countries, citing bilateral trade and investment.

"Vietnam is a global manufacturing hub with strong production capabilities and abundant resources," he said. "When these strengths are combined with Korea’s advanced science and industrial technologies, I believe we can jointly help build the industrial ecosystem for the future."

During his meeting the previous day with To Lam, general secretary of the Communist Party of Vietnam, the two leaders reviewed bilateral trade and discussed cooperation in sectors including medical devices, railways, AI, secondary batteries, intellectual property and cultural content. They also explored potential cooperation on nuclear power plant construction in Vietnam.

In particular, Lee noted that a contract to export Korean rolling stock for Ho Chi Minh City’s urban railway would be signed Thursday.

“I hope this contract will help improve Vietnam’s railway infrastructure and lead to broader cooperation in major transportation and logistics projects,” he said.

Hyundai Rotem CEO Lee Yong-bae, right, shakes hands with Thaco Group Chairman Tran Ba Duong, during a signing ceremony in Hanoi, Vietnam, Thursday. Courtesy of Hyundai Rotem

Hyundai Rotem has been identified as the supplier of driverless electric multiple units.

On Thursday, it signed two contracts collectively worth $332 million with Vietnamese conglomerate Thaco Group for Ho Chi Minh City's Metro Line 2 project, scheduled to begin operations in 2030. This is the first time for the Korean firm to win a rolling stock order in Vietnam.

Since signing an MOU last December, Hyundai Rotem has remained Thaco Group’s sole partner in the railway sector, advancing technology transfer and local production.

The company expects the latest deals to help it secure additional contracts in Vietnam, including the planned high-speed rail project to connect the country's northern and southern regions, which will be the largest infrastructure construction in the Southeast Asian nation's history.