Deputy Foreign Minister and EU Ambassador Emphasize Importance of Cooperation and Communication in Responding to IRA

Lee Do-hoon, Deputy Minister of Foreign Affairs, Discusses Response to US Inflation Reduction Act with EU Ambassador to Korea
"Discriminatory Measures Against Third Countries Should Not Be Introduced"

[Asia Economy Reporter Yoo In-ho] On the 6th, Lee Do-hoon, Vice Minister of Foreign Affairs, met with Maria Castillo Fernandez, Ambassador of the European Union (EU) to Korea, to discuss the EU's response trends to the U.S. Inflation Reduction Act (IRA).

According to the Ministry of Foreign Affairs, Vice Minister Lee listened to the consultation trends between the EU and the U.S. regarding the IRA at the U.S.-France summit held on the 1st (local time) and the 3rd U.S.-EU Trade and Technology Council (TTC) held on the 5th.

Both sides agreed that cooperation between Korea and the EU is important concerning the IRA and decided to maintain close communication going forward.

Vice Minister Lee emphasized to Ambassador Castillo Fernandez that "in the process of the EU and individual member states responding to the IRA, discriminatory measures against third countries that do not comply with World Trade Organization (WTO) norms should not be introduced."

European countries have also raised complaints about discrimination against foreign electric vehicles resulting from the U.S. IRA implementation.

French President Emmanuel Macron recently criticized the IRA strongly during his visit to the U.S., calling it "very aggressive to French industry," and stated that he agreed with U.S. President Joe Biden to mediate disputes arising from the IRA.

Additionally, Vice Minister Lee requested prior consultations to ensure transparency in the legislative process, emphasizing that "various economic legislations the EU is pursuing, such as the Critical Raw Materials Act, should also be non-discriminatory."

Ambassador Castillo Fernandez emphasized, "We are well aware of Korea's position, and the EU will comply with WTO norms during the legislative process."

She added, "The Critical Raw Materials Act is different from the IRA and is not protectionist legislation. We hope it can serve as a foundation for cooperation to strengthen the Korea-EU critical minerals supply chain."

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