South Korea, UAE to pursue investment cooperation projects worth over $65bn
South Korea and the United Arab Emirates (UAE) have agreed to pursue cooperation projects worth more than US$65 billion, including over $35 billion in the defense industry, to deepen bilateral economic ties, President Lee Jae Myung's top aide said Thursday, Yonhap reports.
Kang Hoon-sik announced the outcome of his trip to the UAE as a special presidential envoy for strategic economic cooperation, during which he delivered Lee's personal letter to President Mohamed bin Zayed Al Nahyan and held talks with Khaldoon Khalifa Al Mubarak, chairman of Abu Dhabi's Executive Affairs Authority.
"The two countries agreed to jointly pursue projects worth more than $65 billion, including $35 billion in the defense industry and $30 billion in investment cooperation," Kang told reporters upon arriving at Incheon International Airport, west of Seoul.
For defense industry cooperation, the two sides signed a memorandum of understanding on a defense industry cooperation framework to expand collaboration across the sector.
When asked about specific areas, Kang said the cooperation would span a broad range of areas - including integrated air defense, aircraft and naval vessels - but declined to provide details, citing confidentiality.
The two countries also agreed to restructure bilateral investment cooperation worth $30 billion to better support their strategic partnership.
The new framework is intended to help implement the UAE's $30 billion investment pledge to South Korea while financially backing Korean companies' entry into the Middle Eastern nation and joint expansion into third-country markets, Kang said.
In the nuclear energy sector, the two countries plan to expand full-cycle cooperation based on their experience with the Barakah nuclear power plant in the UAE, including collaboration on nuclear fuel supply, maintenance capabilities, and the application of artificial intelligence (AI) technologies to plant operations.
The UAE nuclear power plant, built by the state-run Korea Electric Power Corp, is now fully operational and supplies a quarter of the UAE's electricity.
"The two countries will actively pursue joint entry into third-country markets in this sector as global demand for nuclear power grows amid surging electricity needs for AI and other technologies," Kang said.
South Korea and the UAE will continue consultations on follow-up measures, with Al Mubarak expected to visit South Korea in March or April, according to Kang.
The Korean economic delegation's visit came after Lee and Sheikh Mohamed held summit talks in Abu Dhabi in November and discussed ways to expand cooperation in AI, the defense industry, nuclear energy, and other sectors.
Earlier, it was reported that Canada and South Korea have signed a new defense agreement aimed at deepening military cooperation and strengthening their strategic partnership.
