Korea-US Economic Circles: "Rebuild Global Supply Chains While Protecting Corporate Autonomy and Confidentiality"

Federation of Korean Industries, 33rd Korea-US Business Council Meeting
Agreement on Regulatory Improvements Including Trade Expansion Act Section 232

Huh Chang-soo, Chairman of the Federation of Korean Industries, is delivering a greeting at the '33rd Korea-US Business Council General Assembly' held at the Federation of Korean Industries Conference Center on the 9th.

[Asia Economy Reporter Dongwoo Lee] Following Samsung Electronics and SK Hynix, DB HiTek also cooperated with the U.S. government by submitting semiconductor supply chain data, prompting Korean and American economic figures to emphasize the necessity of public-private cooperation in the reorganization of critical supply chains. They agreed on the need to respect corporate autonomy, protect sensitive confidential information, and collaborate on rebuilding global supply chains.

The Federation of Korean Industries (FKI) held the 33rd Korea-U.S. Business Council General Assembly on the 9th with the U.S. Chamber of Commerce under the theme "Post-Pandemic, Changes in the Global Economic Order and Korea-U.S. Economic Cooperation" to discuss these matters.

Choi Chang-sik, CEO of DB HiTek, stated before the assembly, "We submitted data by providing the minimum necessary information to protect our customers," expressing his shared commitment to rebuilding the global supply chain.

Huh Chang-soo, Chairman of the Korea-U.S. Business Council and FKI Chairman, proposed in his opening remarks the establishment of a trilateral economic consultative body among Korea, the U.S., and Japan to promote economic advancement after the COVID-19 crisis. Chairman Huh said, "Korea and the U.S. must join forces to restore the disrupted global economic order and rebuild a free trade environment," and suggested launching a platform for regular dialogue and cooperation among the economic sectors of Korea, the U.S., and Japan.

Participants from both Korea and the U.S. argued that discussions on rebuilding global supply chains in key strategic sectors should protect sensitive corporate information and maximize the autonomy of the private economic sector.

Accordingly, the FKI and the U.S. Chamber of Commerce issued a joint statement urging public-private dialogue to identify actual bottlenecks in supply chains, provision of business incentives to encourage voluntary corporate participation, and protection of corporate business confidential information.

In particular, attendees from both countries expressed agreement on the revision movement of Section 232 of the U.S. Trade Expansion Act since the Biden administration took office, and concurred on the need to improve trade restrictions and corporate regulations that threaten the Korea-U.S. economic alliance. However, the U.S. side also expressed concerns about the negative impact of Korea’s Serious Accidents Punishment Act, scheduled to be enforced next year, on management and investment environments.

Both countries voiced a unified stance on cooperation in advanced technologies such as semiconductors and batteries, as well as alternative energy sources like nuclear power and natural gas to address climate change.

Lee Kyung-soo, Deputy Minister of the Ministry of Science and ICT, explained in his keynote speech that Korea plans to more than triple the budget for Korea-U.S. cooperation in research and development (R&D) of advanced strategic technologies including semiconductors, batteries, quantum technology, space, and artificial intelligence (AI).

Jose Fernandez, U.S. Deputy Assistant Secretary for Economic Growth, Energy, and the Environment at the State Department, shared the U.S. policy direction toward Asia and cooperation plans for addressing climate change.

Business leaders from both countries also discussed climate change response measures based on nuclear power, natural gas, and renewable energy, as well as issues related to digital norms between the two countries.

Kim Bong-man, Director of International Cooperation at the FKI, said, "At this meeting, we conveyed to both governments the need to improve trade and investment restriction factors such as the revision of Section 232 of the Trade Expansion Act," adding, "Next year’s Korea-U.S. Business Council meeting is planned to be held face-to-face in Seoul."

Meanwhile, the general assembly was attended by key government figures including Lee Kwang-jae, Chairman of the National Assembly Foreign Affairs and Unification Committee; Lee Soo-hyuk, Ambassador to the U.S.; and Deputy Minister Lee Kyung-soo, as well as major companies such as Lotte, Hyosung, Hanwha, SK, Boeing, 3M, and Amazon.

This content was produced with the assistance of AI translation services.