Korea's shipbuilding, nuclear sectors closely monitor fallout from US designation

The US government’s decision to place South Korea on its list of sensitive countries has raised concerns that the designation could hamper Korea’s chances of collaborating with the US in technological and industrial areas.
Minister of Science and ICT Yoo Sang-im noted that the labeling could damage the trust between the two allies during a live TV show aired by broadcaster KBS on Sunday.
“The joint research projects (between Korea and the US) are not going to be scrapped but there could be various inconveniences such as having to file in reports 45 days in advance under the regulation,” he said, referring to the US Department of Energy’s explanation that the visits by foreign nationals from listed countries to DOE sites and cooperation undergo an internal review beforehand.
“Minister of Trade, Industry and Energy will visit (the US soon). Minister of Foreign Affairs is expected to visit the US and I also have a similar plan.”
An official at the Ministry of Science and ICT said Monday that the timing of Yoo’s visit to the US has not been confirmed.
“What we have heard so far is that there are no problems to our science and technology cooperation and that (Korea and the US) will continue to push for science and technology cooperation in the future as well,” said the official.
“We are still trying to figure out the exact reason and background for the designation and what kind of limitations (the listing) would have. The (Korean) government is doing all it can to remove Korea from the sensitive countries list."
The previous Biden administration added South Korea to the lowest category of the Sensitive and Other Designated Countries List, or SCL, in January this year. Referring to South Korea as the Republic of Korea, or ROK, the DOE said, “Currently there are no new restrictions on bilateral science and technology cooperation with the ROK. The Energy Department looks forward to collaborating with the ROK to advance our mutual interests.”
According to Korea’s National Research Council of Science and Research, which governs the country’s 23 state-funded research institutes, there were 67 joint research agreements between Korea and US organizations as of Tuesday.
As Korea's designation on the DOE's list will take effect on April 15, Korea’s research institutes said that there have not been any changes to the ongoing projects yet.
An official at a government-backed research institute voiced worries over the potential implications of the designation.
“If (Korea) stays on the SCL, it could affect joint projects not only in the future but also right now,” said the official.
“Having to face adversities in co-working on advanced technologies such as (artificial intelligence) and quantum mechanics with the US would weaken our country’s competitiveness on the international stage.”
Industrial sectors on watch
The DOE’s list of sensitive countries includes China, India, Russia, Taiwan, Ukraine, Iraq and Israel, with North Korea, Syria, Iran and Cuba being labeled as terrorists.
Despite the negative connotation, the DOE told VOA that “Inclusion does not necessarily indicate an adversarial relationship with the United States; many designated countries are those we regularly cooperate with on a variety of energy, science, technology, counterterrorism and nonproliferation issues.”
Sources in the shipbuilding and energy fields, the areas that the Trump administration has publicly called for cooperation with Korean players, said they were closely monitoring the development of the designation.
“We are checking different aspects (of the listing) but there are no critical issues at the moment,” said an official working in the shipbuilding industry.
“Because we are in a situation where we have more advanced technologies in case of cooperation. … We are going to have to wait and see how things unfold.”
An official working in the nuclear power sector pointed out that the Ministry of Trade, Industry and Energy will take the driver’s seat in correcting the designation, saying that each industrial player cannot comment much about the issue at hand.
“In terms of nuclear energy, (Korea and the US) should work together as they need to exchange support like how they are in the shipbuilding industry,” said the official.
“Since we don’t have how the (Energy Department) will handle the listing and to what extent it will have an impact, it will be difficult for us to make conclusive statements until there are official announcements.”
hwkan@heraldcorp.com