South Korea and Egypt have officially announced the start of negotiations for a Comprehensive Economic Partnership Agreement (CEPA). The two countries aim to establish a framework for expanding trade and investment while enhancing economic cooperation in key sectors such as industry, energy, and defense.
On October 8, President Lee Jae-myung held a summit at the Blue House with Egyptian President Abdel Fattah el-Sisi, who is on a state visit to South Korea. The leaders discussed cooperation plans, including the formal launch of CEPA negotiations, which were agreed upon last year, and the elevation of their relationship to a 'strategic partnership.'
During a joint press conference following the summit, President Lee stated, "The two countries officially declare the commencement of negotiations for the Comprehensive Economic Partnership Agreement (CEPA), following our agreement last year to pursue it." He added, "I hope this agreement is concluded swiftly, providing a solid foundation for expanding economic cooperation across a wide range of areas, including trade and investment between our nations."
This agreement signifies a progression from last year's commitment between the two leaders to actual negotiations. It aims to utilize Egypt as an economic hub connecting the Middle East and Africa, thereby expanding market access and investment cooperation for businesses from both countries.
President Lee described Egypt as "an economic powerhouse connecting the Middle East and Africa and a key trading partner for us," noting that many prominent South Korean companies are already actively engaged in the country.
The two leaders agreed to strengthen cooperation in five areas: economy and society, industry and energy, defense and security, culture and education, and international peace and stability. They signed or revised a total of 12 cooperation documents.
Notably, South Korea became the first Asian country to sign a social security agreement with Egypt. This agreement is expected to alleviate the burden of double pension contributions for workers dispatched to each other's countries and promote mutual business activities.
In the industrial sector, a memorandum of understanding (MOU) was signed to link South Korea's shipbuilding technology with Egypt's industrial development needs. This collaboration aims to support the development of Egypt's eco-friendly shipbuilding industry and expand the scope of cooperation between the two nations.
Additionally, MOUs were signed for clean energy cooperation and power infrastructure collaboration. These agreements are intended to enhance energy transition cooperation and ensure stable power supply and energy security. An MOU for information and communication technology (ICT) cooperation was also established to expand collaboration in digital areas such as artificial intelligence (AI), high-speed internet, and cybersecurity.
In the defense sector, the two countries agreed to deepen cooperation centered on the joint production of K9 self-propelled howitzers. The leaders acknowledged that the joint production of K9 howitzers has become a successful model for defense cooperation.
President Lee expressed hope that defense cooperation would evolve into a mutually beneficial partnership that goes beyond mere arms exports, contributing to the strengthening of the Egyptian military and the expansion of local production and technology cooperation.
In the cultural and educational sectors, next year will be designated as the 'Year of Korea-Egypt Cultural Exchange.' The Egyptian Grand Museum has signed MOUs with the National Museum of Korea and the National Agricultural Museum. The two countries also revised a higher education cooperation MOU for the first time in ten years to reflect changing educational environments and cooperation needs.
In the diplomatic and security fields, the leaders agreed to collaborate on restoring peace and stability in the Middle East, including the Gaza Strip. They reaffirmed the importance of ensuring smooth international maritime logistics and the safe navigation of all vessels.
President Lee conveyed the government's philosophy that creating peace, which eliminates the need for conflict, is the most certain and robust form of security, while explaining the government's vision for peaceful coexistence on the Korean Peninsula.
This summit comes less than a year after President Lee's visit to Egypt to mark the 30th anniversary of diplomatic relations. President el-Sisi's visit to South Korea is the first in a decade, marking a significant elevation in diplomatic relations between the two countries.
President Lee stated, "We agreed to materialize the past agreements into tangible outcomes that our citizens can feel. I hope this new journey we embark on together shines brightly, just like the name of the Middle East initiative I announced at Cairo University last year, the 'S.H.I.N.E. Initiative.'"
* This article has been translated by AI.
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