New delhi: South Korea and India have agreed to enhance their trade and defense collaborations as part of a strategic move to ensure a stable supply of energy resources and key raw materials. This development comes in the wake of South Korean President Lee Jae Myung's state visit to India, where he engaged in significant discussions with Indian Prime Minister Narendra Modi.
According to Deutsche Welle, during the summit held in New Delhi, Prime Minister Modi emphasized the shared economic and strategic goals between the two nations. Both leaders agreed to double their bilateral trade to $50 billion by the year 2030, highlighting their commitment to strengthening economic ties.
President Lee's visit marks his first state trip to India since taking office last year and is notably the first visit by a South Korean leader to India in eight years. The discussions between Lee and Modi also covered a wide range of topics, including cooperation in the Indo-Pacific region, shipbuilding, artificial intelligence, and defense. Last year, South Korea exported $19.2 billion worth of goods and services to India, while importing $6.4 billion, resulting in a trade surplus of $12.8 billion, as reported by the Korea International Trade Association.
President Lee expressed his desire to enhance economic cooperation with India, stating that the current level of economic collaboration is low and there is significant potential for growth. He shared these thoughts at a dinner meeting with the Korean community in New Delhi, emphasizing a vision for a fundamentally different relationship between South Korea and India.
In light of global economic strains and supply chain instability, particularly due to the Middle East crisis and disruptions in the Strait of Hormuz, South Korea views India as an increasingly important strategic partner. This partnership is exemplified by India's role as a key supplier, providing about 8% of South Korea's naphtha imports last year. Following his visit to India, President Lee is scheduled to travel to Vietnam, furthering his diplomatic engagements in the region.