Korean, US senior officials discuss key minerals, energy security
U.S. Under Secretary for Economic Growth, Energy and the Environment Jose Fernandez speaks during a joint press conference at the foreign ministry in Seoul, Jan. 10. Yonhap
Senior officials of Korea and the United States on Tuesday discussed ways to enhance cooperation on critical minerals and energy issues, and to encourage corporate exports and investment in the fields, Seoul's industry ministry said.
Second Industry Minister Park Il-jun met with Jose Fernandez, the U.S. under secretary of state for economic growth, energy and the environment, who was in Seoul for talks on a range of bilateral economic issues, according to the Ministry of Trade, Industry and Energy.
During the meeting, Park said bilateral cooperation is crucial to ensure stable supply chains of major minerals critical for making electric vehicle batteries and other advanced technologies, and stressed his country's commitment to the U.S.-led initiative of the Mineral Security Partnership (MSP).
Launched in June last year, the 12-nation MSP aims to ensure stable supply chains of key minerals and catalyze investment in the sector. Member nations include Korea, the U.S., Australia, Canada, Finland, France, Germany, Japan, Sweden, Britain and the European Commission, according to the U.S. State Department.
The two sides also discussed how to continue consultations regarding the implementation of the U.S. Inflation Reduction Act (IRA), and the CHIPS and Science Act, according to the ministry.
The IRA, signed into law by U.S. President Joe Biden in August, gives up to $7,500 in tax credits to buyers of electric vehicles assembled only in North America, sparking concerns that Hyundai Motor and Kia could lose ground in the U.S. market, as they produce their EVs at domestic plants for export to the U.S.
The CHIPS and Science Act calls for tax credits for corporate investment in semiconductor manufacturing in the U.S., and bans recipients of tax credits and other benefits from making a fresh investment regarding chips in China for 10 years.
Park also asked for Washington's interest in and support for Korean energy firms' investment and other business activities in the U.S. in such fields as renewable energy, hydrogen, fuel cells and nuclear power generation, and called for joint efforts to tackle climate change and to better ensure energy security, the ministry said in a release.
Earlier in the day, Fernandez discussed the IRA and other economic issues of mutual concerns with Korea's Second Vice Foreign Minister Lee Do-hoon, according to the foreign ministry. (Yonhap)