Trade Minister Yeo Han-koo held a teleconference with Malaysia’s International Trade and Industry Minister Mohamed Azmin Ali on April 18 at Korea Chamber of Commerce and Industry (KCCI) in Seoul to discuss various trade issues, including the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), Indo-Pacific Economic Framework (IPEF), and supply chain cooperation.

Japan, Singapore, Vietnam, Australia, New Zealand, Canada, Mexico, Peru, Chile, Malaysia, and Brunei, a total of 11 countries, are currently members of the CPTPP, which amounts to USD 5.2 trillion in terms of trade value and $10.7 trillion in nominal GDP. With the exception of Chile, Malaysia, and Brunei, all remaining nations have completed the trade deal ratification.

During the trade talks, Minister Yeo requested Malaysia’s strong support and interest in Korea’s CPTPP application process, which Korea plans to initiate in April. A public hearing has already been held in Korea for social discourse on the matter, and domestic procedures are underway.

Minister Mohamed Azmin Ali responded positively to the request, expressing Malaysia’s welcome stance towards Korea’s CPTPP application, and shared Malaysia’s updates on CPTPP ratification. So far, Korea has been able to confirm support for CPTPP accession from Canada, New Zealand, Vietnam, Australia, and Brunei during separate talks over the past few months.

Both sides agreed on the need for regional cooperation through their trade partnership built on the New Southern Policy, and for a forward-looking, cooperative relations across all sectors, including supply chain, clean energy, and infrastructure.

While exchanging views on IPEF, Minister Yeo mentioned the importance of Indo-Pacific trade ties for post-pandemic global economic recovery and Korea's anticipation for IPEF's role in building up the regional economic competitiveness and sustainable growth. Moreover, Korean companies engaging in EV batteries and renewable energy businesses in Malaysia can contribute to furthering collaboration across supply chain, clean energy, and decarbonization.

The trade chiefs concurred that they should leverage the Regional Comprehensive Economic Partnership (RCEP) enforcement as an opportunity to expand business and investments, as well as supply chain and climate change response. RCEP took force for Korea and Malaysia on Feb 1 and March 18 of this year, respectively.

Minister Yeo also placed special emphasis on the supply chain partnership currently in progress with major partner countries, calling for closer bilateral cooperation for supply chain resilience of critical minerals and materials.