Support for Korean firms’ participation in Türkiye’s nuclear power projects; joint production and cooperation on tanks and naval vessels

President Lee Jae Myung agreed to establish a financial cooperation framework to support Korean companies’ bids for nuclear power projects in Türkiye and to expand joint production and technology cooperation in the defense sector. The plan is to continue cooperation on construction of the Sinop nuclear power plant, support Korean firms’ participation in new nuclear power projects in Türkiye, and broaden opportunities for domestic defense companies to enter overseas markets by pursuing cooperation on tanks and naval vessels and exploring joint entry into third-country markets.
After holding a summit with Türkiye President Recep Tayyip Erdoğan at Cheong Wa Dae on the 3rd, President Lee outlined these areas of cooperation in a joint press statement. Erdoğan’s state visit to South Korea is his first in eight years, since 2018. He and President Lee met again about four months after the NATO summit in Ankara this July.
The two leaders agreed to review progress on implementing the agreements reached at their summit last November and to strengthen practical cooperation in strategic areas including nuclear power, defense and infrastructure.
At the summit that day, South Korea and Türkiye signed memoranda of understanding (MOUs) in four areas: nuclear power project financing, energy, natural resources and mining, and science, technology and innovation. Key areas include considering financial support for nuclear power projects involving Korean firms, energy transition cooperation, cooperation on critical minerals and rare earths, and joint research and development in advanced fields such as artificial intelligence (AI).
President Lee assessed that, under the nuclear cooperation MOU signed last November, work was proceeding smoothly on site assessments for construction of the Sinop nuclear power plant and the operation of a joint working group. Building on this cooperation, the two sides agreed to proactively support Korean firms’ participation in new nuclear power projects in Türkiye. The MOU on nuclear power project financing was signed between the Export-Import Bank of Korea and the Türkiye Nuclear Energy Corporation. The two institutions agreed to exchange strategic information, focusing on projects involving Korean firms, and assess the feasibility of financial support.
In the defense sector, the two sides will identify new areas for cooperation, building on the results of the Altay tank project. The countries have broadened the scope of their cooperation, holding a Joint Committee on Defense Industry and Logistics in July this year and signing a letter of intent on cooperation in the naval vessel sector last September. President Lee said they had agreed to expand joint production and technology cooperation and to jointly explore ways for companies from both countries to enter third-country markets.
President Lee said the two sides had also agreed to strengthen cooperation on road infrastructure, trade and investment, in addition to nuclear power and defense. In particular, bilateral trade surpassed $10 billion for the first time in 2023, following the entry into force of the Free Trade Agreement (FTA) in 2013, and hit a record $10.7 billion last year. To ensure trade continues to grow steadily, they agreed to address issues including trade imbalances, import restrictions and customs clearance delays. The two governments will also continue working together on the issue of Korean nationals obtaining work permits in Türkiye.
The two sides will also expand cooperation in future growth areas such as biotechnology, energy, and science and technology. President Lee said they had agreed to work together to ensure the establishment of a plasma fractionation plant involving SK Plasma proceeds without disruption, and to expand cooperation on clean energy, hydrogen and renewable energy by establishing an energy transition forum. He stressed that they would also pursue cooperation on AI, advanced communications and advanced materials through their first Joint Committee on Science and Technology, as well as diversify critical mineral supply chains through technical and investment cooperation in the resources and mining sectors.
The two leaders also agreed to coordinate on peace on the Korean Peninsula and stability in international affairs. President Lee said he had reaffirmed Türkiye’s support for South Korea’s policy toward North Korea and that the two sides had agreed to work together to establish peace on the Korean Peninsula. They plan to expand coordination in multilateral forums including the United Nations, the Group of Twenty (G20) and MIKTA. MIKTA is an interregional consultative body of middle powers comprising five countries: Mexico, Indonesia, the Republic of Korea, Türkiye and Australia. On the Russia–Ukraine War and the situation in the Middle East, they agreed to communicate closely to pursue peaceful resolutions to conflicts and restore regional stability.
About 80 people from various sectors in both countries attended the state banquet that day, including Euisun Chung, chairman of Hyundai Motor Group; Chang In-hwa, chairman of POSCO Group; and Lee Yong-bae, CEO of Hyundai Rotem Company. Fire Captain Yang Yeong-an, who contributed to rescuing survivors at the site of Türkiye’s 2023 major earthquake, was also invited.
[email protected] Choi Jong-geun Reporter