INTERNATIONAL: The Prime Minister of Australia Scott Morrison and the President of South Korea have advanced their bilateral relations and elevated to a comprehensive Australia partnership. Australia has signed a $716.5 million defence deal with South Korea on Monday, 13 December, boosting Seoul's efforts to grow its military exports.
Under the terms of the deal, South Korean defence company Hanwha Corp will build 30 self-propelled howitzers and 15 armoured ammunition resupply vehicles for Australia, positioning Hanwha as a frontrunner for Australia's planned A$30 billion contract to build infantry fighting vehicles for its army.
While the defence deal is the headline of South Korean President Moon Jae-in's four-day trip to Australia, both countries have said they have also agreed to work closely to help ensure supplies of Australian critical minerals exports for South Korea's tech sector.
South Korea needs critical mineral supplies, having pledged to become a global battery manufacturing powerhouse by 2030 as part of its plan to be carbon neutral by 2050. Australia supplies around 40% of South Korea's critical mineral imports, which are crucial for many of the components needed to drive the world's economies to net zero emissions by 2050.
Australia, the world's richest country in mineral resources, and Korea, a major producer of batteries and electric vehicles, play an important role in the global supply chain. The two countries share the view that establishing a stable mineral supply chain is important not only for the two countries, but also for the global economy and we both nations have signed the MoU (memorandum of understanding) on cooperation in critical mineral supply chain.
Together the two countries will leap forward as global leaders and move forward vigorously towards a future of shared prosperity. First, they have agreed to strengthen strategy cooperation for fostering regional stability, peace and prosperity. They also agreed to expand the security cooperation, national defence and defence materials in cyber technology. In particular, with the K9-T (K9 Thunder) self-propelled artillery project signed on 13 December, as a signifier and starting point will strengthen strategy defence and cooperation.
The two countries are now important security partners as they have just witnessed with the Hanwha howitzer contract, a billion dollar armoured vehicle centre for excellence to be located in the Geelong region, and a big shoutout to all of those in Geelong. This is the delivery of an important commitment of both governments. It's an important further chapter in the defence industry story for Australia as they continue to build their sovereign capability and Korea is an important partner in that journey -- both in their security arrangements, but also in the building of their sovereign capability in defence manufacturing.
South Korean President Moon Jae-In says that they have not received a request from any other country including the United States to participate in the diplomatic boycott of Beijing Winter Olympics. They are not considering a boycott measure. With regards to AUKUS, they respect the decision made by the sovereign state, Australia, and this is the decision made by Australia as a sovereign nation and South Korea respects that. And Australia is making efforts for peace and prosperity of the Indo-Pacific region and within the region Australia does not desire dispute arising in the region. And for peace, S. Korea will continue to cooperate with Australia for peace in this region. And the state visit at this time has nothing to do with South Korea’s position over China.
