Korea Urges UK to Consider Energy Security in Russian LNG Sanctions

Yeo Han-goo, head of the Trade Negotiation Headquarters at the Ministry of Trade, Industry and Energy, urged the UK government on August 6 to consider South Korea's energy security and supply stability when implementing sanctions on Russian liquefied natural gas (LNG). He also emphasized the need for reasonable quota allocations for South Korean products in relation to the UK's new steel measures.

The Ministry reported that Yeo held a video conference with Anas Sarwar, the new UK Trade Minister, at the Korea Chamber of Commerce and Industry in Seoul to discuss key trade issues between the two countries.

This meeting was organized to congratulate Sarwar on his appointment following the formation of the new UK cabinet and to explore avenues for trade cooperation.

Yeo expressed concerns regarding the UK's planned comprehensive ban on services related to Russian LNG, including shipping and insurance, set to take effect in January 2027. He explained that disruptions in fulfilling existing contracts due to these sanctions could impact South Korea's LNG supply stability and energy security.

He also noted that the European Union's recently announced 21st package of sanctions against Russia includes an exemption for South Korea's imports of Russian LNG. Yeo proposed that the UK maintain close communication and flexibility in cooperation to ensure global energy market stability and address challenges faced by South Korean companies when applying sanctions.

The discussion also covered the UK's 'new steel measures.' Yeo called for reasonable import quotas for South Korean steel products, urging the UK to consider the mutual benefits of the Korea-UK Free Trade Agreement (FTA) to create a balanced trading environment for businesses in both countries.

Both sides exchanged views on follow-up measures for improving the Korea-UK FTA and the UK's introduction of the Carbon Border Adjustment Mechanism (CBAM), agreeing to strengthen future-oriented cooperative relations across industry, trade, and energy.