Youngki Hong: Korea and Czechia share many historical similaritiesThat’s also why we know the value of freedom and market economy

In 2015, the Republic of Korea was the first Asian country to upgrade its bilateral relationship with the Czech Republic to a "strategic partnership". What are the commitments and benefits resulting from this for both countries? We talked to Youngki Hong, who is the Ambassador of the Republic of Korea to the Czech Republic since summer 2023. "We have been expanding cooperation in various fields, including politics, economy, and people-to-people exchanges. We share universal values such as freedom, human rights, and rule of law. Both countries have also strengthened international cooperation on a broad range of issues, including a firm response to North Korea’s provocations and supporting international solidarity for restoring peace and rebuilding Ukraine."

Can you mention any specific events or exchanges that took place recently?

For example, there was a summit meeting held on the sidelines of the UN General Assembly in September 2023, visits by the Speaker of the Czech Chamber of Deputies, Markéta Pekarová Adamová, to Korea in March 2023 and by the Speaker of the Korean National Assembly, Kim Jin-pyo, and Prime Minister Han Duck-soo to the Czech Republic in June and September 2023, respectively, and a Foreign Minister’s Meeting held in April 2024.

As our bilateral relationship strengthens, economic ties are also flourishing, with Korea emerging as the Czech Republic’s third largest trading partner outside of Europe, following the United States and China. This robust trade partnership has been marked by a remarkable trend of continuous growth in trade volume since 2020, reaching $4.4 billion in 2023. Our trade relationship is not only driving economic growth but also creating numerous job opportunities for both countries. We have a lot in common.

Our countries are geographically very distant, yet they have a very strong bond. In your view, what are some of the common points in the history of our countries? What are the shared focus areas of our economies?

That’s right. Despite the geographical distance, the Republic of Korea and the Czech Republic share many historical similarities. Both nations have a history of being dominated by foreign powers. The Cold War also brought a common challenge, which was the threat of communism. The Republic of Korea directly confronted a communist North Korea, while Czechia found itself under communist rule within the Soviet Bloc. Despite these common hardships, the people of both countries share a strong will for freedom and independence. Eventually, Korea and Czechia have both transformed into free, democratic countries, which helped them achieve strong economic growth through successful market economy and trade.

Our nations have courage and perseverance in the face of adversities. That’s a strong bond.

In which sectors of the economy do you see the greatest opportunities for further development of our cooperation moving forward?

There are a number of promising areas of cooperation between the two countries. The biggest opportunity, given the scale and impact of cooperation, is the construction of a new nuclear power plant in Czechia, which is scheduled to be awarded to a preferred bidder in July.

High-speed rail, hydrogen, semiconductors, electric vehicles, AI, and quantum computing are all areas of interest for the Czech economy, and they all have one thing in common: they consume a lot of electricity. Korean nuclear power plants, which have proven their excellence at home and abroad, can provide a stable supply of high-quality power to these sectors, and thus further accelerate Korean-Czech cooperation in the aforementioned high-tech industries.

Cooperation in semiconductors and AI

South Korea is planning to invest 7bn USD in AI and semiconductors by 2027. The investment includes around 1bn USD to support companies who deal with AI and semiconductors. Are there any opportunities for cooperation in these fields between institutions and companies from both countries?

Korea is the world's No. 1 producer of memory semiconductors, and semiconductors are a key industry, accounting for 20 percent of its exports. However, AI semiconductors, which are specialized for the massively parallel computations required by AI, have different characteristics from conventional memory semiconductors. This opens up opportunities for start-ups as well as established semiconductor giants to produce superior AI semiconductors. The Czech Republic has excellent IT capabilities and is very interested in Korea and its semiconductor sector, with Czech semiconductor equipment companies participating in Korean semiconductor exhibitions.

Above all, both countries share strong democracy and market economy values, so they are free from geopolitical risks surrounding semiconductors. Therefore, it would be beneficial for semiconductor companies, associations, and research institutes in both countries to cooperate in the field of AI semiconductors.

Memorandum of cooperation in hydrogen and fuel cell technologies

In March, a memorandum of cooperation in hydrogen and fuel cell technologies was signed, with your participation. Can you tell us more about this project? Please give examples of similar cooperations between Czechia and Korea.

In March, an MOU was signed between Woosuk University from Korea, Hytep, and SZU to test and evaluate hydrogen fuel cells. Korea has the world's first and second largest hydrogen fuel cell companies, but its entry into the European market is still in its early stages.

Woosuk University is an institution specialized in hydrogen fuel cell research in Korea. The Engineering Testing Institute (SZU) is specialized in certification evaluation in Europe. Hytep is the Czech hydrogen representative organization and serves as a bridge between Korean and Czech companies. I believe that the collaboration of these three organizations will be a great opportunity to strengthen the cooperation between Korea, the Czech Republic, and Europe.

I would like to add that there is great interest from Korean companies to enter the European market through the Czech Republic, which is the center of Europe. The fields are diverse, not only hydrogen but also drones, medical devices, cosmetics, etc. I expect more cooperation in the future.

From Korea to other Asian markets

Which Czech companies have established themselves in the Korean market? What would you advise Czech SMEs that are looking to invest in or export to Korea?

Generally speaking, Czech companies that have invested in Korea are relatively small in size, and the industries include beer, SW, and trading companies. In fact, Czech companies have been focusing on the European market rather than the Asian one. The Czech Republic is very popular to Koreans for its beer and tourism. However, Czechia's excellent precision manufacturing capabilities are not yet well known in Korea.

If the Czech Republic strengthens trade and investment cooperation with Korea, it will have the effect of expanding its market to Asia. Korea welcomes foreign investment and offers a variety of incentives to attract investment, including tax reduction and cash grants. Czech SMEs interested in investing or exporting to Korea can find support through Invest Korea, the country's specialized agency.

Korean culture is increasingly inspiring

In recent years, Korean culture has seen a huge boom across the globe, whether it's Korean cuisine, music (K-Pop and others) or award-winning films. What are the reasons behind this rise in popularity?

As the Ambassador to the Czech Republic, I have the opportunity to meet many Czechs who express interest in Korean culture. With each interaction, I witness the growing global recognition of Korean culture. I recently had the opportunity to invite a Czech K-pop dance group to perform at an embassy event, and I was truly impressed by their positive energy and enthusiasm. This exemplifies the power of Korean culture to inspire and connect people across cultures.

In my view, the success of Korean culture can be attributed to several key factors. Firstly, the widespread availability of Korean content on online platforms like YouTube, Netflix, and social media has played a crucial role in its global popularity. These platforms have made it easier than ever for people around the world to discover and enjoy Korean dramas, music, and films. Secondly, it’s the passionate and active fan culture that has emerged around Korean content. Global fans not only consume Korean content but also actively promote it through social media, online communities, and real-world events. Thirdly, the government's policies have been instrumental in supporting and nurturing the creativity and autonomy of the private sector. This has allowed cultural fields to develop unique and original productions that resonate with a global audience.

How much does it help enhance the image of your country and its economy?

The Korean culture has had a profound impact on South Korea's image, fostering a more positive and attractive perception of the country. This has led to increased interest in Korean products and services, as evidenced by a recent government survey that found 66% of respondents had a more positive view of Korea after experiencing Korean content and 58% believed Korean culture had a positive influence on their willingness to use Korean products and services.

Recognizing the immense potential of Korean culture, the Korean government is actively supporting the overseas expansion of both culture and industry through collaboration between the two sectors. In the Czech Republic, we are working to further promote Korean culture and expand cultural and industrial cooperation, with the aim of strengthening the overall relationship between our two countries.

You are the Ambassador to the Czech Republic for over a year now. In your personal experience so far, what do Czechs and Koreans have most in common?

In my opinion, both nations have courage and perseverance in the face of adversities. In the end, having overcome unfriendly geopolitics of the past, we have achieved what we had longed for: a free, independent, democratic country. Now is the time we look to the future.

Today, the international community is facing multi-faceted challenges: military conflicts in Europe and Middle East, disrupted rules-based international order, climate change and so on. In order to keep the world safe and prosperous, the cooperation among like-minded countries sharing universal values is more important than ever. Therefore, I hope that the Republic of Korea and the Czech Republic, as strategic partners, further deepen our bilateral ties and closely work together to tackle the current challenges with the courage and perseverance that we have shown in the past.

Written by Daniel Libertin

Photo credits: KPR, autor: Tomáš Fongus