- Discuss Methods to Strengthen Strategic Economic Cooperation Amid Heightened Uncertainty in the Global Economy

- Seek Ways to Expand Presence in the Indian Market through Communication with Korean Companies in India and Indian Companies

1. On April 28, Kim Hee-sang, Deputy Minister for Economic Affairs at the Ministry of Foreign Affairs of the Republic of Korea, met with Shri Periasamy Kumaran, Secretary (East) of the Ministry of External Affairs of the Republic of India, and Shri Ajay Bhadoo, Additional Secretary of the Ministry of Commerce and Industry of the Republic of India, in New Delhi, India.

2. During the meetings, both sides discussed the overall economic cooperation between the two countries, and ways in which this economic cooperation could expand to a strategic level, including economic security, core technologies, and critical minerals. Both sides agreed that amidst the heightened uncertainty in the global economy, alongside the trend of close integration between economy and security, the importance of cooperation between like-minded countries is being highlighted.

3. Both sides appreciated Korean companies’ active investment and activities in India, as the two countries mark the tenth anniversary of the “Korea-India Special Strategic Partnership” this year. They agreed to support the companies’ operations in India and reinforce cooperation with small businesses through the Korea-India Fast Track Mechanism (FTM), which was launched in December 2024. In particular, Deputy Minister Kim requested India’s special attention to creating an investment-friendly environment and easing the Indian government’s import restrictions, such as the imposition of steel sheet safeguard tariffs.

※ Korea and India forged a Special Strategic Partnership in May 2015, on the occasion of Prime Minister Shri Narendra Modi’s visit to Korea.

※ The FTM allows Korean companies investing in India to raise issues directly with the Indian government and other relevant authorities. Its meetings will be held on a biannual basis, led by the Minister at the Korean Embassy in India and a Director at the Indian Department for Promotion of Industry and Internal Trade.

4. Both sides agreed to work towards progress in the negotiations to improve the ‘Comprehensive Economic Partnership Agreement (CEPA),’ and expand Korean companies’ participation in high value-added infrastructure projects through the signing of an “Economic Development Cooperation Fund (EDCF) Framework Arrangement” with a limit of 4 billion USD.

※ The EDCF Framework Arrangement refers to an arrangement that pre-arranges the period and ceiling of EDCF loans.

5. Both sides exchanged in-depth views on the international economy, including the trends in negotiations with the Trump administration of the United States, and agreed to continue communication and cooperation on major issues. They also discussed specific ways to strengthen cooperation related to the Minerals Security Partnership (MSP).

※ The MSP is a consultative body that discusses strengthening the supply chain of critical minerals. Member states include Korea, the G7, Norway, Sweden, Finland, Australia, India, Estonia, and the EU.

6. On April 29, Deputy Minister Kim held a meeting with representatives of Korean businesses operating in India, and listened to the challenges they are facing. He also held a meeting with representatives of Indian businesses that are members of the Confederation of Indian Industry. In the meeting, he exchanged views on ways to expand interactions between Korean and Indian companies, and at the same time requested an expansion of contributions.

7. On the same day, Deputy Minister Kim attended and gave a congratulatory speech at the “2nd Korea-India-U.S. Strategic Trilateral Track 1.5 Dialogue 2025,” co-hosted by the Observer Research Foundation and the Embassy of the Republic of Korea in India. Through his speech, Deputy Minister Kim emphasized the significance of trilateral cooperation between Korea, India, and the U.S. in the context of the current international political and economic situation, and also stressed the importance of economic relations between Korea and India.

8. Deputy Minister Kim’s visit to India this time reaffirmed the two countries’ commitment to cooperation commensurate with their potential for cooperation, and served as an opportunity to hold detailed discussions on ways to deepen cooperation in key areas between the two countries.