South Korea, Kuwait celebrate six decades of energy partnership

• South Korea and Kuwait collaborate on various sectors, with South Korea importing 100 million barrels of Kuwaiti oil yearly and bilateral trade at $10 billion. Nearly sixteen major South Korean companies have been active in Kuwait’s infrastructure development since the 1970s.
• Korean companies are eager to join Kuwait’s Vision 2035 projects, and over 2,000 Kuwaitis visited South Korea in the first half of the year, reflecting a surge in tourist interest.

 Staff Report

South Korea celebrated sixty years of energy cooperation with Kuwait in March, commemorating the arrival of the first shipment of Kuwaiti crude oil to Korean shores in 1964. This milestone signaled the start of a longstanding and fruitful relationship built on mutual trust and friendship, according to Minister Counsellor of the Korean Embassy, Mr. Lee Byoung Gwan

In a roundtable luncheon discussion with members of the media, Mr. Lee stated that South Korea and Kuwait are collaborating in several areas, including construction, clean energy, medical services, transportation, and technological advancement. He pointed out that South Korea imports nearly 100 million barrels of oil from Kuwait annually, making it the second-largest importer of Kuwaiti crude. Bilateral trade between the two countries has reached $10 billion.

Expanding on South Korea’s role in Kuwait, Economic and Commercial Counsellor Mr. Jinhang Nah mentioned that Korean companies have been involved in Kuwait’s infrastructure development since the early seventies.

More recently, he pointed to the Sheikh Jaber Al-Ahmad Al-Sabah Causeway, built by a South Korean company, as well as the Clean Fuel project and Al Zour Refinery. “There are almost sixteen large South Korean companies operating in Kuwait and involved in various development projects,” Mr. Nah noted.

He expressed optimism that more projects would be announced in the near future, and that Korean companies were favorably positioned to bid for these projects, provided they meet the required company profiles.

He said that South Korean companies are now more focused on technology, including renewable energy, smart cities, hospitals, airports, and specialized work, rather than labor-intensive projects such as road maintenance, where they would not have a competitive edge over other countries.

Regarding the South Korean company managing the new Al Jahra Hospital, he confirmed that negotiations are still ongoing and he hopes that they will be finalized soon.

South Korean electric wire maker Taihan Cable & Solution completed Kuwait’s first fiber optic cable factory this month as part of an offset program investment. The factory, a joint venture with Kuwaiti construction and trade company Rank, will begin production by the end of the month.

Mr. Nah pointed out that Korean companies are keen and eager to participate in Kuwait’s Vision 2035, including the development of the islands and ports. Korean companies are also involved in the petrochemical project and will continue to support various projects, from the Shagaya Solar Project to smart cities and refineries.

Regarding culture and tourism, Mr. Jinkuk Lee, the second secretary, noted that more than 2,000 Kuwaitis visited Korea in the first half of the year, and he sees an immense interest and increase in the number of tourists going to South Korea.

Kuwaiti nationals do not need a visa to visit Korea, only an online authorization, which has also been waived this year due to the Visit Korea Year 2024. There is a huge interest in Korean food, culture, and beauty products in Kuwait among the young generation, including TV programs, he noted.

Regarding military cooperation, Korea has been enhancing its collaboration with countries in the Gulf Cooperation Council (GCC), such as the UAE and Saudi Arabia. In line with this, Mr. Lee expressed his hope to expand military cooperation with Kuwait in the near future.