▲ Na Seung-sik, President of the Korea Association of Human Resources (right), and Luis Alberto Castiglioni, Minister of the Paraguay MIC (left). (Photo courtesy of Han Ja-yeon)

MOU with Paraguay for Establishment of Mobility Technology Research Institute
Expectations for Domestic Auto Parts Companies to Expand into South America

The Korea Automotive Research Institute (hereinafter KAERI) is partnering with the Paraguayan Ministry of Industry and Trade (hereinafter MIC) to establish a future vehicle industry ecosystem in order to lay the foundation for domestic automotive parts companies to enter the South American market.

Na Seung-sik, President of the Korea Institute of Mobility and Human Resources, and Luis Alberto Castiglioni, Minister of the Paraguayan Ministry of Economic and Social Affairs, signed a Memorandum of Understanding (MOU) for the establishment of a mobility technology research institute in Paraguay at the Conmebol Convention Center in Asunción, Paraguay, on the 9th (local time).

The Paraguayan government has adopted the development of the future vehicle industry, including electric vehicles, as a core national development strategy and is preparing specific implementation plans to establish a national mobility technology training institute, attract investment from automotive parts companies, and promote the adoption of electric vehicles.

Following the signing of this MOU, the two organizations plan to promote the establishment of a sustainable cooperation ecosystem, including the expansion of technology and personnel exchanges in the automotive industry between the two countries.

The specific details include the establishment of a mobility technology research institute and the exchange of human resources for fostering specialized technology, technical support for automotive parts R&D, and the identification of international joint R&D projects.

Na Seung-sik, Director of the Korea Association of Mobility and Human Resources, stated, “We expect the establishment of the Mobility Technology Research Institute to play a significant role in the development of Paraguay’s automotive industry,” adding that “we plan to support the exchange of technology and human resources without any setbacks.”

Minister Castiglioni stated, “As a strategic partner of the MIC, Hanjayeon is rewriting the history of Paraguay’s automotive industry,” and"I look forward to full-scale cooperation in the future," he said.

In addition, Director Na Seung-sik took this opportunity to share Korea's experience in fostering the automobile industry with government and corporate officials from Mercosur (Southern Common Market), including Paraguay, Brazil, Uruguay, and Argentina.

Director Na attended 'Invest in Paraguay 2022' as a speaker at the Conmebol Convention Center in Asunción, Paraguay, on the 8th, co-hosted by the Paraguayan Export and Investment Promotion Agency (REDIEX) and the Inter-American Development Bank (IDB).

Na Seung-sik, President of the Korea Association of Paraguay (KAPA), is presenting Korea's experience in fostering the automotive industry at 'Invest in Paraguay 2022'. (Photo courtesy of KAPA)

At the event, he pointed out, “In the case of automobiles, a single part must possess durability and reliability for more than 15 years, so the competitiveness of root technologies such as molds and casting is very important,” and advised, “Government policy support and investment from a mid-to-long-term perspective are essential to secure this.”

Meanwhile, KJA is organizing the 'Technical Task Guidance for Automotive Parts Production Sites in Paraguay' as part of the Industry-Trade Cooperation Development Support Project, which is funded by the Ministry of Trade, Industry and Energy and the Korea Institute for Industrial Technology Advancement (KIAT).

TAs part of ASK, Hanjayeon invited about 40 officials from the Paraguayan government and automotive industry for two weeks starting on the 29th of last month to provide them with an opportunity to experience the technology and industrial systems of the Korean automotive industry and explore ways to cooperate with domestic companies through visits to domestic automotive companies and institutions and attendance at exhibitions.