Attracting Foreign Investment for Supply Chain Response... UK Semiconductor Process Pump Companies, etc.

Foreign Investment Attraction for Supply Chain Risk Response... UK Semiconductor Process Pump Company, etc.

Yoo Jung-yeol, President of KOTRA. (Photo by KOTRA)

[Asia Economy Reporter Moon Chaeseok] As global supply chain risks increase due to the prolonged Ukraine crisis, KOTRA and the Ministry of Trade, Industry and Energy held a meeting on the 6th to expand foreign investment attraction. The Global Investment Summit, held at the Shilla Hotel in Jung-gu, Seoul, was hosted by the Ministry of Trade, Industry and Energy and organized by KOTRA. An investment declaration ceremony with the world's No.1 vacuum pump manufacturer for semiconductor processes from the UK and others was also held on site.

At the event, public, private, and academic figures gathered to review the role of attracting foreign investment in response to the global supply chain restructuring caused by the Russia-Ukraine crisis and the rise of new global protectionism. The event was divided into sessions including an investment cooperation signing ceremony, a global investment forum, and an investment cooperation consultation meeting.

At the investment cooperation signing ceremony, Yoo Jung-yeol, President of KOTRA, held an investment declaration ceremony with Edward, the UK’s world No.1 producer of vacuum pumps for semiconductor processes; EMP Belstar from the US, the largest investor in the domestic energy logistics sector; and Vitesco Technologies, a German company specializing in cutting-edge powertrain technology. Applied Materials, the world’s No.1 semiconductor and display equipment company from the US, signed an investment agreement with the Ministry of Trade, Industry and Energy and Gyeonggi Province. The signing ceremony was attended by Ahn Deok-geun, Director-General for Trade Negotiations at the Ministry of Trade, Industry and Energy; Kim Dong-yeon, Governor of Gyeonggi Province; and Mark Lee, CEO of Applied Materials Korea. According to the agreement, Applied Materials plans to establish an advanced semiconductor-related research and development (R&D) center in Gyeonggi Province.

The forum focused on the role of foreign investment in the era of global supply chain restructuring. Richard Bolwijn, Head of Investment Research at the United Nations Conference on Trade and Development (UNCTAD), forecasted that "amid inflationary pressures and supply chain restructuring, the global economy is undergoing changes, and competition for global FDI (foreign direct investment) will intensify." Moon Hwichaang, Emeritus Professor at Seoul National University Graduate School of International Studies, stated that if advanced technology clusters are well established, it will rather present an opportunity to attract FDI.

Speakers also continued to evaluate "Korea as an investment destination." Jeffrey Lee, Partner at NLVC, a Silicon Valley-based venture capital firm in the US, described Korea as a "high-income advanced society." H?kan Selberg, CEO of Ericsson LG, said, "Korea is a strategic market equipped with advanced technology and strong government-driven digitalization efforts," adding, "We will continue investing in Korea for corporate profit generation."

The consultation meeting was arranged to facilitate matching between foreign-invested companies and domestic firms. Major foreign-invested companies in sectors such as semiconductors, pharmaceuticals, and hydrogen vehicles met with about 20 domestic innovative small and medium-sized enterprises, institutions, and universities to explore various investment cooperation opportunities including equity investment, joint R&D, and industry-academia cooperation. A total of 10 foreign-invested companies participated in the online and offline consultation meetings, including Sanofi Pasteur, a global pharmaceutical company seeking joint R&D partners for new product development; Korea Dow, a semiconductor materials company searching for advanced material technology firms; and Valeo Korea, which hopes to operate a technology workforce training program linked to university recruitment.

Andre Notom, Head of Asia at Solvay, one of the world’s top 10 precision chemical companies, said, "Korea is an attractive investment destination due to its excellent infrastructure, workforce, and favorable government policies," adding, "I am satisfied to have the opportunity to meet Korea’s foreign-invested companies and government through this event." Yoo Jung-yeol, President of KOTRA, stated, "Since the COVID-19 pandemic, there have been many changes in the global investment environment such as global supply chain restructuring, low-carbon economy, and digital transformation," and added, "We will strive to attract foreign investment that creates national wealth while stabilizing supply chains in preparation for global supply chain restructuring."

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