New delhi: South Korean President Lee Jae Myung and Indian Prime Minister Narendra Modi have agreed to collaborate on stabilizing energy supply chains, in response to the ongoing uncertainties caused by the Middle East conflict.
According to Yonhap News Agency, during a summit held in New Delhi, President Lee and Prime Minister Modi focused on expanding trade and investment, while exploring opportunities in sectors such as critical minerals, energy, artificial intelligence, finance, and shipbuilding. President Lee emphasized the need for strengthened bilateral cooperation to ensure a stable supply of energy resources and key raw materials, including naphtha, which is crucial for the petrochemical industry. South Korea currently imports most of its naphtha from the Middle East, a region now fraught with tension.
Prime Minister Modi echoed this sentiment, emphasizing India's commitment to enhancing cooperation with South Korea in key technologies and supply chains to foster shared prosperity. The leaders also agreed to maintain close coordination on regional peace and global issues amidst evolving global dynamics, highlighting the importance of restoring peace and stability in the Middle East for global security and economic stability.
President Lee also took the opportunity to explain Seoul's peace-building efforts on the Korean Peninsula and voiced appreciation for India's consistent support. He further called for India's continued constructive role, describing the two nations as ideal partners for comprehensive cooperation that promotes mutual growth and innovation.
To strengthen economic ties, both countries have agreed to expedite negotiations to upgrade their Comprehensive Economic Partnership Agreement (CEPA). The goal is to increase bilateral trade from the current $25 billion to $50 billion by 2030, with the upgraded agreement reflecting new trade norms to better respond to evolving conditions, including in supply chains and the green economy. Prime Minister Modi confirmed that negotiations to upgrade the CEPA will resume within the year, with efforts to conclude talks quickly.
In alignment with the summit's focus, the two nations signed 15 documents to boost trade, investment, and cooperation, particularly in areas like shipbuilding and artificial intelligence. These agreements include a memorandum of understanding on shipbuilding to support Korean companies' participation in India's shipbuilding projects.
Additionally, the two countries plan to establish a "Mumbai Korea Center," envisioned as a cultural hub that blends K-pop and Bollywood, further strengthening cultural ties. Before the summit, President Lee paid tribute at Raj Ghat, a memorial dedicated to Mahatma Gandhi, and participated in a tree-planting ceremony with Prime Minister Modi at Hyderabad House.