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OPPORTUNITIES FROM KOREA TO MEXICO
Universidad Vasco de Quiroga
June 2nd, 2021
H.E. Mr. Suh Jeong-in,
Ambassador of the Republic of Korea to Mexico
MILESTONES OF BILATERAL RELATIONS
1962 Arrival of Koreans in
Mexico
Establishment of
Establishment of strategic partnership
(100 years after the arrival of Koreans in Mexico)
2022 2021
1905 2005
Bicentennial of the
60th year of diplomatic relations
(60 years is one cycle in Asian calendar)
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Share various values as middle powers based on democracy and market economy -Link between East Asia and Latin America (APEC, FEALAC)
-CD, UfC, P4G, GGGI.
Members of OECD and G20
-Size of economy: Korea no. 10 and Mexico no. 16 in the world.
Deepening of bilateral economic cooperation
-Korea: 4th trading partner of Mexico, Mexico: 1st trading partner of Korea in Latin America -Korea’s investment in Mexico: 7.4 billion dollars
Increased exchange of culture and people
-2012: Korean Cultural Center in Mexico City and spread of Korean wave
-2017: Inauguration of the direct flight between Korea and Mexico, the first in Latin America.
KOREA AND MEXICO’S BILATERAL RELATION
2019: Mérida and Campeche cities, as well as the state of Yucatan officially designated May 4th as the “Korea Day”.
2021: Federal government established May 4th as the “Day of the Korean immigrants”.
RECENT DEVELOPMENT
MAY 4TH: DESIGNATED DAY OF THE KOREAN
IMMIGRANTS
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RECENT DEVELOPMENT:
ASSOCIATION OF MEXICAN VETERANS OF THE KOREAN WAR
The Embassy of the Rep. of Korea to Mexico began looking for the "forgotten heroes", those more than 100,000 Mexican veterans fought in this conflict as part of the US military, to acknowledge their sacrifice in the Korean War (1950-1953).
April 2021: Ceremony to establish the 1st Association
of Mexican Veterans of the Korean War.
Sharing of experiences countering COVID-19.
In 2020: 500,000 US$ in supply of test equipment.
In 2021: 500,000 masks for UNICEF.
RECENT DEVELOPMENT:
PUBLIC HEALTH COOPERATION TO COMBAT COVID-19
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RECENT DEVELOPMENT:
KOREAN HIGH LEVEL OFFICIALS VISITS TO MEXICO DURING COVID-19 PANDEMIC
October, 2020 April, 2021
Visit of Deputy Minister Kim Gunn Visit of 1st Minister Choi Jong Kun
WHERE ARE WE NOW AND WHAT HAVE WE
ACHIEVED IN ECONOMIC
COOPERATION?
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COMMERCIAL RELATIONS
Mexico is Korea’s 1st largest trade partner in Latin America.
During the last 20 years, imports and exports between the two countries increased fivefold.
Korea is Mexico’s 4th largest trade partner.
3.9 billions 22 billions 2020
2000
2,030 Korean businesses registered with the Ministry of Economy, which have generated more than 150,000 jobs.
Korean investment in Mexico:
7,350 million dollars.
430 Korean companies in Mexico
COMMERCIAL AND ECONOMIC OPPORTUNITIES
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WHAT COULD BE THE EXPECTED EFFECTS OF
A FREE TRADE
AGREEMENT BETWEEN KOREA AND MEXICO?
Increase in bilateral trade Trade balance and diversification
Increase in bilateral investment
Economic diversification
INCREASE IN BILATERAL TRADE
Although Korea is Mexico's 4th most important trading partner, its share in the Mexican market remains modest. In total exports, Korea only represents 0.1%, while in imports it represents 3.88%.
Main Mexican exports (2019) Motor vehicles, tractors, cylinders and other land vehicles, their parts and accessories.
Nuclear reactors, boilers, machines, apparatus and mechanical devices.
Electrical machines, apparatus and material.
Main products from Mexico to Korea (2019)
Mineral fuels, mineral oils and distillation products.
Minerals, slag and ash.
Electrical machines, apparatus and material and their parts (televisions, VTR)
26.32%
17.52%
17.37%
45.5%
17.4%
9.9 %
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The average tariffs applied by Korea are higher than those of Mexico. Therefore, a bilateral Free Trade Agreement would balance the degree of openness.
-Average tariffs applied by Mexico in 2009: 7.1%
-The average tariffs applied by Korea in 2019: 13.6%
(Source: 2020 WTO Tariff Profile. Simple average tariffs, applied MFN.)
In the agricultural sector, Mexico mainly exports meat to Korea.
With a Free Trade Agreement, agri-food exports to Korea (avocados or other vegetables and fruits) would increase, which are products with global competitiveness for Mexico.
TRADE BALANCE AND DIVERSIFICATION
Mexico is a very important investment destination for Korea, due to several factors such as its geopolitical location. With a legal framework for investors in Mexico such as a FTA, Korean investment in Mexico will increase significantly.
Moreover, the ICT sector in Mexico will be boosted, in which Korea has a great development, which would facilitate Korean investment to boost the software industry and the services associated with it.
INCREASE IN BILATERAL INVESTMENT
Some Mexican companies such as Kidzania, Katcon or Promax are operating in Korea. Mexican investment in Korea is relatively low, compared to Korea's in Mexico, but with the FTA, Korea will become a more attractive destination for Mexican investors.
Like Mexico, Korea occupies an important geographical position. It is located in northwest Asia, offering access to more than 60 cities and more than 500 million consumers. Also, and according to the OECD and the World Bank, Korea is considered one of the easiest places to do business.
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ECONOMIC DIVERSIFICATION
GATEWAYS TO ASIA AND LATIN AMERICA
Mexico has
13 Free Trade Agreements with 50 countries
Korea has
16 Free Trade Agreements with 56 countries
WHAT ARE THE OPPORTUNITIES THAT
KOREA HOLDS FOR MEXICO?
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JOB OPPORTUNITIES
Korean investment in
Mexico: 7,350 million dollars.
430 Korean companies in Mexico
KIA, located in Nuevo León, started operations in May, 2016.
300,000 automobile production, creation of 10,000 jobs
Samsung started its production of TV in Tijuana in 1988 and in 2003 built a factory for production of refrigerators, washer machines in Quéretaro.
150,000 jobs created by Korean Companies.
With Korea-Mexico FTA, there will be more job opportunities with increased investments.
ACADEMIC OPPORTUNITIES
Global Korea Scholarship
● Advanced studies in undergraduate &
graduate programs at higher educational for international students.
● Number of participants:
220 undergraduate, 1,080 graduates students.
● It grantees are required to take Korean language training courses for 1 year.
Categories Amount (KRW)
Airfare Actual cost
Resettlement Allowance KRW 200,000
Living Allowance 900,000 KRW ~ 1,000,000 KRW Medical Insurance KRW 20,000 (per month) Language Courses KRW 800,000 (per quarter)
Tuition fees
Actual cost
(No more than 5 million KRW per semester)
Award for Excellent Korean Language Proficiency
KRW 100,000
Research Support KRW 210,000 -240,000 (per semester)
Completion Grant KRW 100,000 (Once)
2016 2017 2018 2019 2020 Total
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Korean Government Support Program for Foreign Exchange Students
● For exchange students regarding Korean culture and education; to strengthen the global competence of Korean universities.
● Number of participants: 200 foreign students
● Program for 4 or 10 months.
Support Program for Self-financed Students
● It looks to raise awareness of the benefits of studying in Korea and to motivate financially self-supporting foreign students by subsidizing outstanding students.
ACADEMIC OPPORTUNITIES
www.studyinkorea.go.kr/
ACADEMIC OPPORTUNITIES
Some universities in Mexico offer
Universidad Autónoma de Nuevo León
Korean studies and TOPIK Center
Universidad Nacional Autónoma
Korean studies and TOPIK Center
Universidad Autónoma de Nayarit
Korean studies and TOPIK Center
Universidad de Guadalajara
Korean studies
Tec de Monterrey
Korean studies
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감사합니다!
