IPEF Special Negotiations Held in India... Supply Chain and Fair Economy Talks

[Asia Economy Sejong=Reporter Dongwoo Lee] The Ministry of Trade, Industry and Energy announced on the 8th that a special negotiation for the Indo-Pacific Economic Framework (IPEF) will be held in New Delhi, India, from the 8th to the 11th.

This negotiation is being held to focus on three areas: supply chains, clean economy, and fair economy, ahead of the second round of talks following the first official negotiation last December.

IPEF, launched under the leadership of the United States in May last year, includes a total of 14 countries such as South Korea, Japan, Australia, and India. Participating countries plan to push forward negotiations to establish agreements in the areas of supply chains, clean economy, and fair economy, which were not covered in existing trade agreements.

They intend to seek mechanisms to respond to supply chain crises and measures to facilitate logistics, while also agreeing to strengthen cooperation on clean energy transition and greenhouse gas reduction technologies.

Discussions will also cover enhancing tax transparency and strengthening international standards for anti-corruption and bribery prevention to build a fair global trade environment.

The Ministry of Trade, Industry and Energy plans to actively participate in the negotiations to ensure that provisions contributing to the expansion of exports and industrial competitiveness of Korean companies in the Indo-Pacific region are reflected in the agreement. The trade volume between South Korea and the 13 other IPEF participating countries amounted to $498.4 billion in 2021, accounting for 39.6% of South Korea’s total trade volume.

A delegation composed of representatives from related ministries including the Ministry of Economy and Finance, Ministry of Foreign Affairs, Ministry of Agriculture, Food and Rural Affairs, and Ministry of Employment and Labor will attend, with Noh Geon-gi, Director General of Trade Negotiations at the Ministry of Trade, Industry and Energy, serving as the chief representative.

Director Noh said, "This special negotiation will be an important opportunity to set the direction for future sectoral negotiations within IPEF. We will strive to contribute to the progress of the negotiations while securing our core interests."

[Image source=Yonhap News]