Lee Says South Korea-Mexico Trade Agreement Is Essential to Expand Bilateral Commerce

First state visit to Mexico by a South Korean president in 16 years

Press statement after summit with President Sheinbaum

Adoption of the 2026-2030 Korea-Mexico Joint Action Plan

Signals need for long-stalled bilateral FTA

Opening a channel to share critical minerals information

Lee says talks will continue on facilities for experiencing K-culture

President Lee Jae-myung, on a state visit to Mexico, held a summit with President Claudia Sheinbaum on Sept. 24 in Mexico City and adopted the 2026-2030 Korea-Mexico Joint Action Plan to expand cooperation across key sectors. Lee and Sheinbaum also discussed the need for a trade agreement to promote investment between the two countries. Their governments signed 17 cooperation documents on the occasion of the summit.

In a joint press statement after the meeting at the National Palace, Lee said the two countries would continue to deliver results from cooperation "across all areas," including trade, development cooperation, intellectual property, space, cultural heritage and education.

The 17 memorandums of understanding signed that day included an Economic and Industrial-Mineral Resources Cooperation Initiative. Under the agreement, the two sides will create a joint committee of director-general-level government officials to share mineral-resource statistics and related information. The presidential office said the initiative would help facilitate a bilateral trade agreement and lay an institutional foundation for cooperation in industrial resources.

The two countries also concluded seven years of negotiations to revise their bilateral investment treaty. Such treaties grant equal rights to domestic and foreign investors without discrimination and serve as safeguards to promote cross-border investment and protect companies. South Korea and Mexico signed the original treaty in 2000, and it took effect in 2002. The revised treaty will enter into force after signing and ratification by the National Assembly.

The two leaders also discussed a trade agreement that would encourage investment by companies in both countries. Lee said he told Sheinbaum that concluding a trade agreement was essential to expand trade and investment and create a stable business environment. The two sides agreed to pursue a joint study by their trade authorities on ways to build a mutually beneficial economic cooperation relationship.

In a written interview with Mexican daily El Universal released before the summit, Lee said Mexico serves as a key link between the North American and Latin American economies thanks to its strong manufacturing base and abundant human resources. He added that the time had come to put in place an institutional framework matching the two countries' solid economic cooperation. The remarks were interpreted as signaling the need to resume negotiations on a South Korea-Mexico free trade agreement.

The two countries began FTA talks in 2006, but made little progress. They formally declared a resumption of talks in March 2022, but negotiations are not currently under way. Mexico is South Korea's largest trading partner in Latin America, with auto parts and steel among South Korea's main exports. The presidential office said the two sides have continued consultations on broader economic cooperation in trade, investment and industrial supply chains, though the discussions are focused on an economic agreement for comprehensive cooperation rather than a market-opening FTA.

The two countries also agreed to resume the Korea-Mexico Joint Committee on Economy, Science and Technology, which had been suspended after 2015, and to jointly identify areas for cooperation in economic cooperation, economic security, supply chains, science and technological innovation. Other agreements signed included a Korea-Mexico Declaration on Artificial Intelligence Cooperation, an MOU on defense cooperation and an MOU on aerospace industry cooperation. Lee said he asked for Sheinbaum's interest and support so that South Korea's defense technology can lead to local production in Mexico, strengthen Mexico's defense industry capabilities and enable the two countries to enter third-country markets together.

The two sides also agreed to expand cooperation in culture and content. Lee said Mexicans' affection for Korean culture extends beyond K-pop to K-beauty and K-food, and the two governments agreed to continue discussions on building facilities in Mexico where people can experience K-culture more often and more easily. He added that the two sides would set up a working group within this year to help create an environment for joint content production and foster related talent.

Mexico City - Han Jae-young, Hankyung reporter, jyhan@hankyung.com