KOREAN NET

President Yoon Suk Yeol (right) and Cambodian Prime Minister Hun Manet on May 16 shake hands at their bilateral summit hosted by the Office of the President in Seoul's Yongsan-gu District. (Yonhap News)

By Yoon Sojung

Video = Lee Jun Young and Park Dae Jin

Bilateral ties with Cambodia will get an upgrade to a strategic partnership.

The Office of the President on May 16 said President Yoon Suk Yeol and visiting Cambodian Prime Minister Hun Manet agreed on this at their bilateral summit in Seoul. The prime minister was in the country for an official visit at the invitation of President Yoon.

Both leaders agreed to bolster cooperation and exchange in sectors such as politics, national security, defense, economy, finance and official development assistance and signed a joint statement on this content.

The statement also said they pledged stronger defense cooperation through activities such as exchange of high-profile officials, education and training, anti-terror training and joint drills. Other points included higher collaboration in United Nations peacekeeping operations through a triangular project of the U.N., Korea and Cambodia as well as in maritime safety and security for peace and stability of the region.

In economic and financial cooperation, Seoul and Phnom Penh hailed the inaugural meeting on May 13 of a bilateral committee on a free trade agreement (FTA) held by the commerce ministries of both sides. They also agreed to continue talks on initiating negotiations in services and investment to promote bilateral trade and investment.

For sustainable development based on innovation, the two countries will expand cooperation in digital trade and intellectual property. Korea will raise investment in Cambodia focused on high-tech industries including small and medium businesses, car assembly, electrical equipment and machinery.

Both sides also agreed to work toward cooperation in smart city and culture projects and expand human exchanges.

Cambodian Prime Minister Hun Manet on May 16 delivers a keynote speech at the Korea-Cambodia Business Forum hosted by the Korea Chamber of Industry and Commerce in Seoul's Jung-gu District. (Jeon Han)

Later that day, entrepreneurs from both countries held a meeting on higher cooperation in high-tech industries, fintech and urban development.

The Korea-Cambodia Business Forum was hosted by the Korea Chamber of Industry and Commerce (KCCI) in Seoul's Jung-gu District on the occasion of the prime minister's visit. Some 250 participants including government, public organization and corporate figures from both sides discussed the Cambodian investment environment, promising sectors and benchmarks of Korean corporate activity in Cambodia.

"Korea is one of the countries that started directly investing the earliest in Cambodia and put in the largest amount," Prime Minister Hun Manet said at the event. "The private sector of both countries as well as their governments need to continuously raise bilateral cooperation."

Minister of Trade, Industry and Energy Ahn Dukgeun said, "Ties between both countries are closer than ever including the signing of a bilateral free trade agreement and joint participation in the Regional Comprehensive Economic Partnership, so it's now the best time to raise economic cooperation to the next level."

Proposing the direction of such cooperation such as expansion of trade and investment, acceleration of collaboration in high-tech industries and joint achievement of carbon neutrality by 2050, he urged more robust exchange to achieve these goals.

The forum also discussed Cambodian policy to attract foreign investment, economic status and investment environment, promising sectors for investment and related incentives. A case study presented was that of Kamko Motor, which entered Cambodia in 2014 and succeeded there thanks to a comprehensive localization strategy of targeting the Cambodian people.

In addition, a ceremony had six memorandums of understanding signed by financial institutions and urban developers of Korea and Cambodia, including one on expanded economic exchange concluded by the KCCI and Cambodia Chamber of Commerce, two bodies representing the business communities of both countries.

Attending the forum were an estimated 150 Korean officials and businesspeople including Minister Ahn and Korea-Cambodia Economic Cooperation Committee Chairman Lee Hee-beom. The 100 Cambodian attendees included Prime Minister Hun Manet, Deputy Prime Minister Sun Chanthol, Minister of Commerce Cham Nimul, Cambodia Chamber President Neak Oknha Kith Meng and entrepreneurs.

Minister of Trade, Industry and Energy Ahn Dukgeun on May 16 delivers the welcoming speech at the Korea-Cambodia Business Forum hosted by the Korea Chamber of Commerce in Seoul's Jung-gu District. (Jeon Han)

arete@korea.kr