Chu Kyung-ho Meets US Yellen: Requests Guidance on Critical Minerals and Battery Components Interest

Attendance at G20 Finance Ministers and Central Bank Governors Meeting
Outcomes of Bilateral Talks with Major Countries' Finance Ministers

Deputy Prime Minister and Minister of Economy and Finance Choo Kyung-ho met with U.S. Treasury Secretary Janet Yellen on the 25th (local time) in Bengaluru, India, to request interest and cooperation regarding the guidance (sub-regulations) on minerals and battery components, which are key to the Inflation Reduction Act (IRA) tax credits announced by the United States.

The Ministry of Economy and Finance explained on the 26th the outcomes of the 2023 1st G20 Finance Ministers and Central Bank Governors Meeting and bilateral meetings held on the 24th and 25th (local time) in Bengaluru, India.

First, on the 24th, Deputy Prime Minister Choo held a meeting with Nirmala Sitharaman, India’s Finance Minister and chair of the 2023 G20. On the 25th, he met with Jim Chalmers, Australia’s Finance Minister; Janet Yellen, U.S. Treasury Secretary; and Paolo Gentiloni, European Union (EU) Commissioner for Economy.

Secretary Yellen and Deputy Prime Minister Choo exchanged views on bilateral and multilateral issues between Korea and the U.S., as well as the importance of supply chains between the two countries. Deputy Prime Minister Choo emphasized that the Korean government continues to pay close attention to the upcoming key minerals and battery components guidance to be announced by the U.S., highlighting that this guidance could provide clearer information to Korean companies, and requested Secretary Yellen’s ongoing interest in this matter. Both countries agreed to continue close cooperation related to this issue.

In the meeting with the Australian Finance Minister, Deputy Prime Minister Choo expressed hope to strengthen cooperation with Australia to establish a stable supply chain for rare earths and critical minerals. During the meeting with the EU Finance Commissioner, Deputy Prime Minister Choo listened to explanations regarding the background and legislative status of recent EU trade policies, including the Carbon Border Adjustment Mechanism (CBAM), the Carbon Neutral Industry Act, and the Critical Raw Materials Act, then conveyed industry concerns that these could cause practical disadvantages to non-EU companies, urging attention to ensure that Korean companies are not harmed during the process of finalizing the legislation.

Deputy Prime Minister and Minister of Economy and Finance Choo Kyung-ho (right), visiting Bengaluru, India to attend the G20 Finance Ministers and Central Bank Governors Meeting, shakes hands and takes a commemorative photo with U.S. Treasury Secretary Janet Yellen on the 25th (local time) before their meeting.