Lee Jae Myung Visits India to Deepen Economic Ties and Boost Bilateral Trade

Lee Jae Myung is on a three-day visit to India to meet Narendra Modi and boost economic ties. Both countries aim to expand cooperation in key sectors and nearly double trade to $50 billion by 2030, while strengthening strategic partnership amid global economic challenges.

Lee Jae Myung has commenced a three-day state visit to India, marking a significant diplomatic engagement aimed at strengthening economic and strategic ties between the two nations. During the visit, he is expected to hold high-level discussions with Narendra Modi, with both leaders focusing on ways to deepen bilateral cooperation across multiple sectors.
Speaking on Sunday at a dinner hosted for members of the Korean community in New Delhi, Lee highlighted the current limitations in economic collaboration between South Korea and India. He acknowledged that trade and investment ties have not yet reached their full potential, describing the existing level of cooperation as relatively low. However, he expressed optimism about the future, stating that both countries are committed to expanding opportunities and fundamentally transforming their economic relationship into a more dynamic and mutually beneficial partnership.
This visit is particularly notable as it represents the first presidential state visit from South Korea to India in eight years, signaling renewed diplomatic momentum. It comes at a time when both countries are seeking to diversify economic partnerships and enhance resilience in the face of global uncertainties.
According to South Korean presidential adviser Wi Sung-lac, key areas of discussion between Lee and Modi will include collaboration in advanced technologies such as artificial intelligence, as well as cooperation in finance and defense. These sectors are seen as critical to driving innovation, economic growth, and national security in both countries.
A major objective of the talks is to upgrade the existing bilateral trade agreement and significantly increase trade volume. Both sides are targeting a near doubling of bilateral trade to $50 billion by the year 2030, compared to the $25.7 billion recorded in the previous year. This ambitious goal reflects a shared determination to unlock new economic opportunities and strengthen commercial ties.
Trade statistics from the Korea International Trade Association indicate that South Korea exported goods and services valued at $19.2 billion to India last year, while imports from India totaled $6.4 billion. This resulted in a trade surplus of $12.8 billion in South Korea’s favor, highlighting an imbalance that both sides may seek to address as they work toward a more balanced and sustainable trade relationship.
In addition to formal talks, Lee is scheduled to participate in a series of business engagements during his visit, including meetings with corporate leaders and industry stakeholders. These interactions are expected to play a key role in fostering private-sector partnerships and encouraging investment flows between the two economies.
Lee also addressed broader global economic challenges, noting that ongoing supply chain disruptions and economic pressures have made closer cooperation between South Korea and India increasingly important. He pointed specifically to the impact of the Iran war, which has contributed to instability in global markets and heightened uncertainty in international trade.
Particular concern has been raised over disruptions to shipping routes, especially through the strategically vital Strait of Hormuz. These disruptions have affected the flow of energy resources and other goods, prompting countries like South Korea to seek more reliable supply chains.
In response to these challenges, South Korea has increased its reliance on India for certain energy-related imports, including naphtha. India supplied approximately 8% of South Korea’s naphtha imports last year, reflecting a growing role in supporting South Korea’s energy needs.
Experts believe that shipbuilding could emerge as a key area of expanded cooperation between the two nations. India is actively looking to develop its manufacturing sector and create employment opportunities, while South Korea brings extensive expertise and global competitiveness in shipbuilding and heavy industries. This complementary dynamic presents a strong foundation for future collaboration.
Following the conclusion of his visit to India, Lee is expected to continue his diplomatic tour with a visit to Vietnam, further underscoring South Korea’s broader strategy of strengthening ties across Asia.