[Edaily Reporter Kim Hyung-wook] South Korea and Morocco have agreed to expedite negotiations for a Comprehensive Economic Partnership Agreement (CEPA) to strengthen economic cooperation. To this end, a new director-general-level working group will be established.

According to the Ministry of Trade, Industry and Energy on the 12th, Yeo Han-gu, Head of the Trade Negotiations Bureau at the Ministry, met with Omar Hejira, Morocco’s Minister of State for Trade, in Morocco on the 11th (local time) to discuss these economic cooperation measures.

In response to the growing trend of protectionism, South Korean trade authorities are accelerating efforts to expand the scope of free trade agreement (FTA) negotiations to include emerging economies and achieve tangible results. A CEPA is also a type of FTA. As part of these efforts, Director General Yeo, following a virtual meeting with Minister Hejira last month to discuss plans for CEPA negotiations with Morocco, visited the country in person this time.

Morocco is regarded as a strategic country highly utilized by Korean companies due to its pivotal location connecting Europe, the Middle East, and Africa, as well as its extensive FTA network with over 50 countries, including the European Union (EU) and the United States. It also holds the world’s largest reserves of phosphorite, a raw material used in batteries and other products.

#Hyundai Rotem secured a contract last February from the Moroccan National Railways to supply electric trains worth 2.2 trillion won—the largest such contract in its history—and is currently pursuing the establishment of a local factory, while #LG Energy Solution is also advancing an investment project for a local lithium smelter.

During his visit to Morocco, Director Yeo met with representatives of Korean companies operating in the country to review the status of projects by Hyundai Rotem and LG Energy Solution, and requested support and cooperation from the Moroccan government to ensure the smooth progress of these projects. He also explored opportunities to expand cooperation into other industrial sectors, such as shipbuilding, defense, and cosmetics.

Director Yeo stated, “Morocco is a key emerging nation in North Africa and a gateway for our companies to enter the African market,” adding, “We will support our companies so they can conduct trade and investment activities stably in the region by strengthening cooperation between the two governments.”