Trade Minister Kim Jung-kwan explains the ministry’s key coverage agenda for 2026 at Authorities Advanced Sejong, Wednesday. Yonhap
Korea Zinc’s smelter development mission in Tennessee may very well be mentioned as a possible candidate to faucet a $200 billion fund devoted to U.S.-bound funding, Minister of Commerce, Trade and Sources Kim Jung-kwan mentioned Wednesday.
Addressing market considerations that the 11 trillion received ($7.4 billion) mission might place a heavy monetary burden on the world’s largest zinc smelter, Kim mentioned he views the choice “positively” from his standpoint because the minister overseeing essential minerals, regardless of the prices concerned.
“The mission has been strongly welcomed by the U.S. Division of Commerce,” he mentioned. “How the U.S. funding fund is likely to be utilized can be a topic for additional discussions with the division.”
He added, nonetheless, that discussions haven’t but progressed to that stage, stressing that the matter stays at a preliminary degree.
Final month, Seoul signed a memorandum of understanding with Washington on U.S.-bound funding, beneath which Korea plans to determine a $200 billion fund to help commercially viable tasks in the USA.
Kim’s remarks are interpreted as indicating that Korea Zinc’s Tennessee smelter mission may very well be introduced up in talks with U.S. officers as a doable funding possibility.
He made the feedback throughout a press convention at Authorities Advanced Sejong after presenting the ministry’s work plan for subsequent 12 months to President Lee Jae Myung earlier within the day.
Korea Zinc’s Onsan Refinery in Ulsan / Courtesy of Korea Zinc
Korea Zinc mentioned Monday that it’s going to kind a three way partnership with the U.S. authorities and firms to construct a large-scale smelter in Tennessee as a part of the Crucible Challenge.
The funding is estimated at round 10 trillion received, rising to about 11 trillion received when working and financing prices are included, with the U.S. Division of Protection and different entities anticipated to contribute between 2 trillion received and three trillion received.
As soon as development is accomplished in 2029, the ability will initially produce zinc, lead and copper, earlier than increasing into strategic minerals equivalent to antimony and germanium.
Referring to the mission, Kim famous {that a} consensus had already been reached in August by means of a memorandum of understanding.
“The ability is predicted to assist set up extra steady provide chains for uncommon earths and demanding minerals, benefiting each Korea Zinc and Korea as an entire,” he mentioned.
