"South Korea's Diplomatic Power Shines" The Background of STX's Successful Egypt Project

On the 27th (local time), STX formed a strategic partnership with the Egyptian government. The contract involves developing the Galub Economic Zone under the local Ministry of Transportation, and it is reported that this was made possible thanks to the active support and diplomatic expertise of Kim Yong-hyun, the South Korean ambassador to Egypt.

The development of the Galub Economic Zone in Egypt is being carried out in line with President Abdel Fattah El-Sisi’s national strategy to make Egypt a global hub for trade and logistics. This partnership contract between STX and the Egyptian government has attracted significant local attention.

Kim Yong-hyun, Ambassador of Korea to Egypt (from the left), Kamel El Wazir, Minister of Transport of Egypt, and Park Sang-jun, CEO of STX, are taking a commemorative photo after the agreement ceremony on the 27th (local time).
[Photo by STX]

According to a report from the Egyptian Strategic Research Center, Egypt has a coastline of 3,000 km and 18 commercial ports. Ninety percent of trade volume is conducted through major ports on the Mediterranean and Red Seas. The Galub Port, in which STX is participating in development, is undergoing 58 projects with an investment of 63 billion Egyptian pounds (approximately 4 billion USD, about 5 trillion KRW). The goal is to open next year.

For this contract, STX has been communicating and continuously discussing plans with Egyptian government agencies over the past three years. Although the main business terms were finalized early, the signing ceremony was somewhat delayed due to international circumstances and domestic and external environments beyond business feasibility. It is known that Ambassador Kim Yong-hyun of the Embassy of the Republic of Korea in Egypt played a significant role in the signing of this contract.

Along with the diplomatic significance of the long-term partnership between the Egyptian government and STX, the ambassador personally attended the signing ceremony despite a busy schedule to facilitate communication between the two countries and for national interest, which gave the Egyptian government confidence in the sincerity of this contract. This is seen as a model case reflecting President Yoon Suk-yeol’s March directive that “heads of overseas missions should unite diplomatic capabilities with the mindset of being South Korea’s top sales representatives.”