9-Nation Sequential Summit... Focus on Economic Sales
Poland's Interest in Purchasing K2 Tanks... Notable Tangible Outcomes Expected
Likely to Broadly Address Economic Security Including Supply Chains
[Asia Economy Reporters Baek Kyunghwan and Yang Nakgyu] President Yoon Seok-yeol's attendance at the NATO Summit is drawing attention not only for security but also for expected achievements in nuclear power plant and defense exports. Nuclear power plant exports are a sector where President Yoon declared he would "run around tirelessly for sales," and it has been confirmed that dense consultations have recently taken place with some countries, including Poland, regarding defense exports. The total number of bilateral summit meetings scheduled by President Yoon during this trip is nine, and according to a presidential office official, meaningful meetings that can yield practical benefits are expected to take place among them.
The bilateral summit attracting the most attention is the meeting with Andrzej Duda, President of Poland. According to government officials on the 27th, President Yoon, visiting Madrid, Spain, is expected to discuss defense exports during the summit with President Duda on the 29th (local time). Poland, which shares a border with Russia, has a scenario of sending its own weapons to Ukraine and introducing Korean-made fighter jets and tanks to fill the power gap. A delegation from the Polish Ministry of National Defense, led by Defense Minister Mariusz Błaszczak, visited South Korea earlier this month and consecutively toured major domestic defense companies.
Poland has recently expressed its intention to purchase 180 K2 tanks and 48 FA-50 light attack aircraft. Hyundai Rotem showcased a model of the ‘K2PL’ (Polish version) at the Eurosatory International Defense Exhibition held in Paris, France, this month. Hanwha Defense plans to target exports of the Chunmoo multiple rocket launcher, wheeled anti-aircraft guns, and the AS-21 Redback infantry fighting vehicle. Korea Aerospace Industries (KAI) will support the Air Force’s special flight team, the ‘Black Eagles,’ participating in the UK Airshow next month. The Black Eagles will conduct a tour flight over Polish airspace immediately after the UK Airshow. This flight is expected to promote the excellence of Korean fighter jets.
During meetings with the leaders of the Netherlands and the Czech Republic, nuclear power exports are expected to be a major agenda item. President Yoon recently visited nuclear power industry sites and stated, "Not only domestically but also in Saudi Arabia, the Czech Republic, Poland, and the United States, nuclear power is recognized as an important energy source in the process of pursuing carbon neutrality, opening export markets," adding, "Major countries worldwide are fiercely competing for leadership in the future nuclear power market. Not only the government but I myself will run around tirelessly for nuclear power sales." This means he is entering the nuclear power sales field just a week after his statement.
The presidential office also expects this to be an opportunity to transform the image of South Korea as a ‘nuclear phase-out country’ built up over recent years. The last time a president actively engaged in nuclear power sales was former President Lee Myung-bak, who supported the KEPCO consortium’s nuclear power contract during his visit to the United Arab Emirates in 2009. Minister of Trade, Industry and Energy Lee Chang-yang plans to visit Poland and the Czech Republic to meet with key high-level officials in the industry and energy sectors. This is an effort to support Korean nuclear companies’ bids for new nuclear power projects in the Czech Republic and Poland.
President Yoon will also engage in cooperation to foster the semiconductor industry, which he has consistently emphasized since taking office. With the Netherlands, a key country in the semiconductor industry, the two countries will reaffirm plans to expand cooperation in the semiconductor sector, and with Canada, they will share opinions on economic agendas such as electric vehicles, batteries, and artificial intelligence, while with Denmark, they will discuss renewable energy and other economic issues.
Broad agendas such as economic security, including supply chains that must be established first for ‘sales,’ will be discussed in detail at the NATO allied and partner countries’ summit and the Korea-US-Japan summit. At the NATO Summit partner countries’ invitation session on the 29th, President Yoon will deliver a speech lasting about three minutes. After reviewing the cooperation process between Korea and NATO, he will explain how to advance bilateral security cooperation and emphasize that North Korea’s nuclear threat is as serious a security threat as the war in Ukraine. The National Security Office stated that this will be an opportunity to request cooperation and attention from NATO member countries regarding the North Korean nuclear issue.
The Korea-US-Japan summit scheduled with US President Joe Biden and Japanese Prime Minister Fumio Kishida will also discuss responses to economic security threats beyond cooperation on North Korea. This is the first trilateral summit in four years and nine months since the Korea-US-Japan summit held during the UN General Assembly in September 2017. President Yoon is expected to urge close cooperation among the three countries to build a global supply chain.
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