South Korea’s President Lee Jae Myung met on Monday with India’s Prime Minister Narendra Modi in New Delhi, where the two leaders committed to nearly doubling bilateral trade as part of efforts to strengthen economic and strategic cooperation.
The two countries plan to boost trade from roughly $27 billion to $50 billion by 2030, focusing on enhancing supply chains, expanding market access and promoting increased investment flows.
India and South Korea to expand cooperation in key growth sectors
Talks between India and South Korea come as both nations seek closer ties amid global economic uncertainty and supply chain strains stemming from the Iran war.
Lee said the two sides agreed to substantially deepen economic cooperation, with a focus on industries such as shipbuilding, defense and artificial intelligence. He added that collaboration would also expand in industrial sectors, alongside increased trade and investment in advanced manufacturing and strategic areas, including critical minerals and nuclear energy.
As part of efforts to reinforce supply chains, Lee noted that South Korea plans to boost imports of naphtha from India to help mitigate potential disruptions tied to Middle East tensions. India accounted for roughly 8 percent of South Korea’s naphtha imports last year.
New Delhi and Seoul to resume 2010 trade agreement negotiations
New Delhi and Seoul also agreed to resume and intensify negotiations to reinvigorate their 2010 trade agreement, as India seeks a more balanced trade relationship while South Korea pushes for broader access to the world’s fastest-growing major economy.
India’s Trade Minister Piyush Goyal said he held discussions with his South Korean counterpart, Yeo Han-koo, on reviving and modernizing the pact, while exploring ways to expand cooperation in industry, green energy and digital trade.
Lee is also set to attend a joint business forum later on Monday, expected to host around 250 South Korean participants, including executives from major companies operating in India such as Samsung Electronics, Hyundai Motor and LG Group.
On the sidelines of the forum, both sides are also planning to sign about 20 private-sector memoranda of understanding spanning sectors such as shipbuilding, digital technology and energy.
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