KISTEP and CSIS jointly hosted the “KISTEP-CSIS Joint Forum on Economic Security” during the US-Korea Conference 2024 (UKC 2024) on August 23 in San Francisco. In this era defined by rapid technological innovation and geopolitical shifts, KISTEP and CSIS recognize the critical importance of fostering collaboration and strategic dialogue to address emerging challenges and capitalize on opportunities. The forum aimed to provide a platform for sharing the future vision for the ROK-US alliance and further expanding the scope of cooperation between the two nations. The forum was especially meaningful due to the participation of 1st Vice Minister Chang Yune Lee (Ministry of Science and ICT), who delivered a congratulatory remark at the opening ceremony.

△ Group photo

In the presentation session, William Reinsch, Senior Adviser and Scholl Chair in International Business at CSIS, discussed economic security policy and the U.S.-Korea cooperation strategy. He emphasized that the U.S. prioritizes strengthening domestic production investment, diversifying supply chains, regulating advanced technology transfers, and enhancing cooperation with allies. For the development of the U.S.-Korea alliance, he mentioned that the U.S. is urging Korea to ease its protectionist policies and enhance cooperation in technology and economic strategy. Key areas of cooperation include strengthening supply chain capabilities, complementary investments, and establishing a trust-based trade partner model.

Second, Byung-Seon Jeong, President of KISTEP, highlighted the importance of technology in economic security, stressing that securing technological sovereignty requires reducing dependence on other countries through the development of core technologies. To achieve this, he emphasized the need for R&D investment, strengthening STEM education, creating a supportive regulatory environment, and forming strategic partnerships with trustworthy nations. He also pointed out that export control is a crucial factor in international cooperation and that Korea must work with various international organizations to maintain an effective export control system. Additionally, he proposed enhancing U.S.-Korea exchanges in personnel, joint research, standardization, and trade control through global platforms, as well as establishing a joint innovation hub for scientists and startups.

Next, Barath Harithas, Senior Fellow of the Project on Trade and Technology at CSIS, emphasized the strategic division of labor between the U.S. and Korea in the semiconductor supply chain, with the U.S. focusing on design and Korea on memory and HBM manufacturing. He also discussed the need to harmonize investment and export control policies with the U.S. while maintaining a balance between security and openness in Korea. Furthermore, he suggested avoiding overlap between the K-Chip Fund and the CHIPS Act and coordinating subsidy policies between the two countries to prevent a "race to the bottom." He also mentioned the necessity of joint investments in supply chain agreements and sustainable mining operations to reduce excessive dependence on China for critical minerals.

Finally, Jae Young Kwon, Associate Research Fellow at KISTEP, explained that Korea is concentrating its investments in quantum technology, semiconductors, and AI, which are strategic technologies, and stressed the need to expand cooperation with the U.S. to promote a healthy global technology ecosystem. She noted that Korea and the U.S. signed a joint statement on quantum information science and technology cooperation in 2023 and should continue to strengthen cooperation in quantum technology. She also mentioned that collaboration between semiconductor companies from both countries is essential to enhancing the stability of the global semiconductor supply chain.

During the discussion session, it was noted that Korea needs to enhance cooperation at the government and institutional levels to secure global leadership. The importance of science and technology in responding to global challenges was also highlighted. Additionally, the session emphasized the need to overcome digital fragmentation through global cooperation, as it poses challenges to economic growth, cybersecurity, and AI standards. Basic research was underscored as a critical component of U.S.-Korea cooperation, particularly in high-energy fields requiring large-scale facilities. Improving visa and immigration policies to facilitate STEM talent exchange was also suggested, alongside a clear regulatory stance on cooperation with China. It was noted that government involvement should be balanced, allowing the market to play a crucial role in technological development while ensuring voluntary cooperation among scientists. The session also highlighted the need to improve transparency and support systems in collaborative research between Korea and the U.S.