Samsung’s Lee Jae-yong and Hyundai’s Chung Eui-sun pledge expanded India-based production and R&D ahead of the Korea–India summit
Minister of Foreign Affairs Cho Hyun (front row, from left), Samsung Electronics Chairman Lee Jae-yong, Chief of the National Security Office at Cheong Wa Dae Wi Sung-lac, Hyundai Motor Group Chairman Chung Eui-sun, LG Group Chairman Koo Kwang-mo, and Ambassador to India Lee Seong-ho attended the Korea-India Business Forum held in New Delhi, India, on April 20. (photo courtesy of FKI)
A luncheon for business leaders was arranged at the surprise suggestion of Indian Prime Minister Narendra Modi. At the event, Samsung Electronics Chairman Lee Jae-yong and Hyundai Motor Group Chairman Chung Eui-sun promised to conduct innovative research and development (R&D) locally.
On April 20 (local time), a luncheon for business leaders hosted by Prime Minister Modi was held before the Korea-India summit. The unscheduled luncheon was attended by figures including Ryu Jin, Chairman of the Federation of Korean Industries (FKI); Chairman Lee Jae-yong; Chairman Chung Eui-sun; LG Group Chairman Koo Kwang-mo; POSCO Group Chairman Jang In-hwa; HD Hyundai Chairman Chung Ki-sun; Hyosung Chairman Cho Hyun-joon; Naver CEO Choi Soo-yeon; GS E&C CEO Huh Yoon-hong; SK Vice Chairman Lee Hyung-hee; and Krafton CEO Kim Chang-han.
Kim Yong-beom, Cheong Wa Dae’s Chief of Staff for Policy, explained, “The event broke from formality as Prime Minister Modi himself suggested having a luncheon with the business leaders.”
Chairman Lee Jae-yong also drew attention by taking a commemorative selfie with Prime Minister Modi and President Lee Jae-myung.
Chairman Lee said, “Samsung Group entered India with the mindset of becoming a local company. Going forward, we will collaborate on advanced product manufacturing and innovative research and development (R&D) right here in India.”
Samsung Group has production bases in India and is strengthening its strategy for the local market.
At the event, Chairman Chung Eui-sun stated, “We are aiming to complete a comprehensive R&D center in India by the end of 2028.”
Hyundai Motor also invited Prime Minister Modi to the completion ceremony of its third local factory this month. Furthermore, at the business forum, Hyundai Motor signed a joint development agreement with TVS Motor Company for three-wheeled electric vehicles, agreeing to accelerate India’s transition to electric mobility.
At the subsequent business forum, companies from both countries signed a total of 20 private Memorandums of Understanding (MOUs) in various fields, including automobiles, steel, and shipbuilding. This is seen as laying the groundwork for achieving the goal of ‘$50 billion in trade volume by 2030 (approximately 73.6 trillion won)’.
Ryu Jin, Chairman of the FKI, emphasized, “The over 670 Korean companies that have entered India are already active as key partners, and now we must broaden the horizon of cooperation across all future industries,” adding, “If the dynamism of Bollywood and Korea’s Hallyu (Korean Wave) combine, we can lead the trends in the global cultural market.”
POSCO Holdings has begun its full-scale push into the high-growth Indian steel market by confirming a $7.29 billion joint venture with JSW Group to build an integrated steel mill.
Meanwhile, a plan to establish a ‘dedicated desk’ to promote the vitalization of economic cooperation between the two countries was also discussed.
In response to criticism that Korean companies face difficulties due to a lack of rationality and predictability when entering the local market, Prime Minister Modi stated at the summit, “The Indian Prime Minister’s Office will act as a control tower and establish a dedicated desk for Korea within the Indian government.”
He then proposed to President Lee, “Please create a dedicated desk for India-economic cooperation in Korea’s Cheong Wa Dae as well.”
Prime Minister Modi said, “We will soon hold a ‘Korea Business Week’ and invite all Korean business leaders to hear their difficulties firsthand,” and added, “The shipbuilding, AI, semiconductor, and clean energy industries will be very important over the next 10 years. I hope that India’s scale and Korea’s speed will combine.”
Jung Suk-yee
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