Interim US envoy downplays impact of ‘sensitive country’ label on ties

By No Kyung-min, The Korea Herald - Joseph Yun, charge d'affaires ad interim at the US Embassy in Seoul, downplayed the broader implications of South Korea’s recent designation as a “sensitive country” by the US Department of Energy, stating that it would have minimal impact on the bilateral partnership between the two nations.

Speaking at a luncheon meeting hosted by the American Chamber of Commerce in Korea on Tuesday, the acting US ambassador emphasized that the designation is limited solely to the DOE.

"It is unfortunate that this issue has been blown out of proportion, but it is not a big deal," Yun said. "The issue is only confined to research institutes affiliated with the Department of Energy."

"The Department (of Energy) oversees many research institutes, and last year, over 2,000 Korean students, researchers and government officials visited the labs that handle sensitive information," said Yun, who was appointed in early January after former Ambassador Philip Goldberg retired and left South Korea.

Meanwhile, at the event -- attended by AmCham Chairman & CEO James Kim, senior business executives and industry leaders -- Yun participated in discussions on the future of Korea-US economic cooperation amid shifting global dynamics.

“There are enormous opportunities for AmCham and for those doing business with the US, whether you're Korean trying to open new investments there, or whether you are American businesses buying or selling goods in Korea,” said Yun.

“In contrast to Korea’s complex political landscape, its economy is performing well,” Yun noted, adding that Korea’s economic strength -- now surpassing Japan in per capita income -- positions it as a major economic power that should attract more aggressive investments.

Regarding pressing economic concerns, Yun advised Korea to make efforts to "resolve trading imbalances" to alleviate potential challenges. He stated, "Korean companies should take proactive measures to eliminate nontariff barriers in areas where US industries hold a strong competitive edge, such as agriculture."

Praising acting Ambassador Yun's current role as a testament to his expertise in Korea, CEO Kim also remarked, "With Ambassador Yun’s leadership and AmCham’s unwavering commitment, I am confident that we can further strengthen the economic partnership between our two nations."

Kim underscored the growing role of Korean companies in the US economy, citing their contributions to the creation of over 830,000 jobs in the US through greenfield investments.

“Recently, I had the opportunity to attend the presidential inauguration and engage in meaningful discussions with key Cabinet members, including the secretary of state and secretary of commerce,” Kim added. “From these conversations, I sensed a strong commitment to strengthening US-Korea economic ties.”

During the following Q&A session, the discussion explored Korea’s emergence as a digital and innovation hub and its role as the host country for the 2025 APEC CEO Summit in Gyeongju, North Gyeongsang Province.

Yun's remarks on South Korea's "sensitive" status have drawn outsized attention at a pivotal juncture. The Korean government is scrambling to have the country removed from the list before the designation takes effect on April 15 and navigating looming tariff risks ahead of the US announcement on reciprocal tariffs set for April 2.

Although Washington has attributed the classification to security concerns over research institutes, rejecting foreign policy or nuclear-related motives, according to Seoul's Foreign Ministry, the DOE has withheld further details.

Acting President Choi Sang-mok has swiftly directed government agencies -- including the Ministry of Foreign Affairs, the Ministry of Trade, Industry and Energy, and the Ministry of Science and ICT -- to coordinate closely with their US counterparts, aiming to minimize the designation’s potential fallout on bilateral cooperation in science, technology and energy.

The Korean government plans to review security compliance at domestic research institutions and may introduce new measures or policy adjustments based on its findings.

As part of its diplomatic maneuvering, Industry Minister Ahn Duk-geun is also set to visit Washington this week to discuss trade issues and formally request Korea’s removal from the sensitive countries list in a meeting with US Secretary of Energy Chris Wright.

Ahn is expected to seek clarity on the reasoning behind Korea’s designation and suggest measures to prevent future occurrences.

Source: https://www.koreaherald.com/article/10444281?ref=naver