South Korea, Egypt upgrade ties to strategic partnership, launch trade talks

South Korea and Egypt upgraded bilateral relations to a strategic partnership on Thursday and formally launched negotiations on a Comprehensive Economic Partnership Agreement (CEPA), expanding cooperation across key industries.

South Korean President Lee Jae Myung announced the decisions in a statement following summit talks with Egyptian President Abdel Fattah al-Sisi in Seoul.

The two countries signed or revised 12 cooperation documents covering shipbuilding, clean energy, defense, electricity infrastructure, information technology, education and cultural exchanges.

Lee said the proposed CEPA would strengthen bilateral trade and investment while helping South Korean companies expand into Middle Eastern and African markets.

The leaders also agreed to deepen defense cooperation, building on the joint production of K9 self-propelled howitzers.

Lee described the project as a successful partnership and called for cooperation extending beyond weapons exports to local manufacturing and technology transfers.

The agreements also cover artificial intelligence, cybersecurity and high-speed internet infrastructure.

On his state visit, Sisi also met executives of 23 major South Korean companies at a business roundtable, his office said in a statement.

Sisi highlighted Egypt’s “interest in expanding economic, investment, manufacturing and technology cooperation with South Korea,” while outlining reforms undertaken to improve the investment and business environment.

He also renewed Egypt’s invitation for South Korean companies to establish an integrated industrial zone within the Suez Canal Economic Zone, saying it could serve as a “regional production and export hub for Korean companies seeking access to Egyptian, African, European and Arab markets.”

He encouraged South Korean companies to expand investments in oil, gas and mining and explore opportunities in renewable and clean energy.

South Korea and Egypt established diplomatic relations in 1995 and marked their 30th anniversary last year.

Bilateral trade reached $874 million during January-August 2026 compared with $920 million during the corresponding period in 2025, according to Egyptian government statistics.

Sisi's visit, his first to South Korea since 2016, comes after Lee's trip to Cairo last November.